KLA is trading 10.3% down at $171.08 in pre-market, extending a sharp two-day slide following its July 28, 2026, earnings release and guidance.
- While the company delivered a headline beat-and-raise quarter supported by AI demand, investors are increasingly focused on underlying margin and cash flow pressures.
- Downside momentum is being amplified by a broader global semiconductor selloff and mounting fears regarding increased competition from China in the chip-equipment sector.