10 High P/E Stocks Under the 200-Day SMA

8. KLA Corporation (NASDAQ:KLAC)

Trailing P/E: 34.67

Number of Hedge Fund Holders: 81

KLA Corporation (NASDAQ:KLAC) provides technologies that help semiconductor manufacturers inspect wafers, detect defects, and control production processes. Its role becomes particularly important as chipmakers adopt more complex manufacturing techniques, where identifying defects and maintaining production yields carry significant financial consequences.

Unlike companies primarily selling computing chips, KLA benefits from the equipment and services required to manufacture them. The increasing complexity of advanced packaging, memory, and leading-edge semiconductor designs has created additional demand for its process-control technologies.

That demand was evident in KLA’s first-quarter fiscal 2027 results. Revenue reached $4.14 billion, above the midpoint of its guidance range of $4.0 billion +/- $200 million, while quarterly free cash flow totaled $1.34 billion. The cash generation is particularly relevant, as it demonstrates that KLA’s exposure to semiconductor investment is supported by an established, profitable operating business rather than solely by expectations of future technological adoption.

DON’T MISS: 10 Best Tech Stocks That Pay Dividends

Nevertheless, semiconductor equipment spending remains dependent on manufacturers’ investment decisions. A slowdown in new production capacity or changes in spending priorities could affect demand, even as chip complexity continues increasing. KLA’s operating performance therefore needs to be assessed alongside the capital-spending cycle of its customers.

7. Marvell Technology, Inc. (NASDAQ:MRVL)

Trailing P/E: 46.45

Number of Hedge Fund Holders: 96

Marvell Technology, Inc. (NASDAQ:MRVL) has been expanding its position in AI infrastructure through custom semiconductors and data-center connectivity solutions. Its business benefits from growing requirements for processing and moving information across increasingly complex computing systems.

The strength of that exposure was evident in its second-quarter fiscal 2027 results. Data center revenue grew 46% year over year, supporting a 37% increase in company-wide revenue to $2.739 billion.

However, Marvell’s investment case has changed substantially following its November 2 agreement to acquire Lumentum in an all-stock transaction with an implied enterprise value of approximately $115 billion. The proposed acquisition would combine Marvell’s electrical connectivity technologies with Lumentum’s optical products, expanding its exposure to AI networking. Under the agreement, Lumentum shareholders would receive 4.5 Marvell shares for each share held, representing approximately 33% ownership of the combined company following completion.

Sell Alert: 10 High-Profile Stocks Just Dumped by Top Analysts

The transaction remains subject to shareholder and regulatory approvals, with closing expected in the first half of 2028. Marvell’s longer-term investment case now involves not only demand for its existing semiconductor portfolio but also the financial and operational consequences of integrating a major acquisition.

6. Tesla, Inc. (NASDAQ:TSLA)

Trailing P/E: 393.65

Number of Hedge Fund Holders: 116

Few companies illustrate the disconnect between current earnings and long-term expectations more clearly than Tesla, Inc. (NASDAQ:TSLA). Although electric vehicles remain its principal business, Tesla is increasingly directing investment toward autonomous driving, robotics, and energy infrastructure.

The significance of this transition is that the company’s valuation extends well beyond its existing automotive earnings. In its third-quarter 2026 results, Tesla reported approximately $28.046 billion in revenue, broadly unchanged from the previous year, while GAAP net income attributable to common shareholders declined to $787 million.

The company has nevertheless continued expanding its autonomous vehicle operations, including introducing Cybercab vehicles into its Austin robotaxi fleet. Tesla also deployed 13.7 GWh of energy storage products during the quarter, demonstrating the scale of its activities outside passenger vehicles.

DON’T MISS: 10 Best Performing AI Stocks of 2026

These developments explain the range of businesses underlying Tesla’s growth strategy, but their financial contributions remain different. Its automotive operations generate established revenue, while newer autonomous technologies require continued investment and commercial development.

That holds significance for a stock commanding an exceptionally high trailing earnings multiple. Tesla’s future financial performance will depend on how effectively it translates technological development into profitable commercial operations.

5. Applied Materials, Inc. (NASDAQ:AMAT)

Trailing P/E: 31.97

Number of Hedge Fund Holders: 137

Applied Materials, Inc. (NASDAQ:AMAT) stands to benefit from increasingly complex semiconductor manufacturing processes, particularly those associated with advanced memory, leading-edge logic, and chip packaging. Its equipment is used in multiple stages of semiconductor production, making the company a supplier of manufacturing technologies rather than finished chips.

A key element of its investment case is the growing importance of materials engineering. As manufacturers seek improvements in chip performance and energy efficiency, Applied Materials has been developing equipment intended to address challenges in advanced packaging and high-bandwidth memory production.

READ ALSO: 10 Best Large Cap Tech Stocks to Buy According to Billionaires

Its third-quarter fiscal 2026 results demonstrated the financial strength of this business. Revenue increased 25% year over year to $9.12 billion, while GAAP operating margin improved to 33.7% from 30.6%. The improvement in profitability is particularly relevant because growing manufacturing complexity does not automatically translate into higher returns for equipment suppliers. Applied Materials has also expanded collaborative research through its EPIC Center, which reached 11 engagements with semiconductor companies, universities, and other technology partners.

However, equipment purchases remain tied to manufacturers’ capital expenditure plans. Sustaining growth will require continued customer investment in advanced production technologies, while maintaining the margin improvements already evident in reported results.