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Why KLA-Tencor (KLAC) Could Be an Impressive Growth Stock

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Growth stocks can be some of the most exciting picks in the market, as these high-flyers can captivate investors’ attention, and produce big gains as well. However, these can also lead on the downside when the growth story is over, so it is important to find companies which are still seeing strong growth prospects in their businesses.

One such company that might be well-positioned for future earnings growth is KLA-Tencor Corporation (KLAC - Free Report) . This firm, which is in the Semiconductor Equipment - Wafer Fabrication industry, saw EPS growth of 56.4% last year, and is looking great for this year too.

In fact, the current growth estimate for this year calls for earnings-per-share growth of 15.6%. Furthermore, the long-term growth rate is currently an impressive 21.2%, suggesting pretty good prospects for the long haul.

KLA-Tencor Corporation Price and Consensus

And if this wasn’t enough, the stock has actually seen estimates rise over the past month for the current fiscal year by about 2.7%. Thanks to this rise in earnings estimates, KLAC has a Zacks Rank #2 (Buy) which further underscores the potential for outperformance in this company. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

So if you are looking for a fast growing stock that is still seeing plenty of opportunities on the horizon, make sure to consider KLAC. Not only does it have double digit earnings growth prospect, but its impressive Zacks Rank suggests that analysts believe better days are ahead for KLAC as well.

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