Market Value Added (MVA)
Market value added (MVA) is the difference between a firm fair value and its invested capital. MVA is a measure of the value a company has created in excess of the resources already committed to the enterprise.
MVA
KLA Corp., MVA calculation
US$ in thousands
Based on: 10-K (reporting date: 2026-06-30), 10-K (reporting date: 2025-06-30), 10-K (reporting date: 2024-06-30), 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30).
1 Fair value of debt. See details »
2 Invested capital. See details »
The financial trajectory of KLA Corp. between June 30, 2021, and June 30, 2026, is characterized by a substantial and accelerating expansion in Market Value Added (MVA). The divergence between the company's market valuation and its invested capital has widened significantly, indicating a strong market perception of value creation beyond the physical and financial assets employed.
- Market Valuation Trends
- The fair market value has demonstrated consistent upward momentum, increasing from US$ 57.0 billion in 2021 to US$ 254.9 billion by 2026. While growth was steady between 2021 and 2023, a sharp acceleration occurred after 2024, culminating in a more than twofold increase in market value between the 2025 and 2026 fiscal year-ends.
- Invested Capital Analysis
- Invested capital has followed a linear and controlled growth path, rising from US$ 6.8 billion in 2021 to US$ 10.3 billion in 2026. The relatively slow growth rate of invested capital compared to market value suggests that the company is leveraging its existing asset base highly efficiently to drive valuation.
- Market Value Added (MVA) Interpretation
- MVA has experienced exponential growth, ascending from US$ 50.2 billion in 2021 to US$ 244.6 billion in 2026. This trend reveals that the market's valuation of the company's future earnings potential and intangible assets has far outpaced the actual capital invested in the business. The most significant surge occurred in the final year of the period, where MVA increased by approximately US$ 130 billion, reflecting a profound increase in shareholder value creation.
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MVA Spread Ratio
KLA Corp., MVA spread ratio calculation, comparison to benchmarks
| Jun 30, 2026 | Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Market value added (MVA)1 | 244,641,119) | 114,801,680) | 89,609,046) | 63,902,519) | 53,689,574) | 50,197,852) | |
| Invested capital2 | 10,301,582) | 9,244,891) | 8,881,599) | 8,526,100) | 8,075,406) | 6,820,696) | |
| Performance Ratio | |||||||
| MVA spread ratio3 | 2,374.79% | 1,241.79% | 1,008.93% | 749.49% | 664.85% | 735.96% | |
| Benchmarks | |||||||
| MVA Spread Ratio, Competitors4 | |||||||
| Advanced Micro Devices Inc. | — | 426.92% | 213.10% | 370.13% | 119.87% | 2,219.60% | |
| Analog Devices Inc. | — | 210.40% | 165.45% | 117.77% | 103.56% | 117.94% | |
| Applied Materials Inc. | — | 929.00% | 640.75% | 671.06% | 515.59% | 815.05% | |
| Broadcom Inc. | — | 986.32% | 681.05% | 780.11% | 327.90% | 373.48% | |
| Intel Corp. | — | 119.34% | 29.14% | 136.50% | 56.17% | 138.47% | |
| Lam Research Corp. | 2,097.95% | 714.60% | 628.85% | 511.21% | 404.85% | 617.13% | |
| Marvell Technology Inc. | 339.79% | 264.76% | 229.84% | 97.37% | 200.17% | 270.10% | |
| Micron Technology Inc. | — | 266.06% | 134.98% | 65.44% | 17.24% | 80.72% | |
| NVIDIA Corp. | 4,383.73% | 6,599.24% | 5,287.84% | 2,593.21% | 3,533.65% | 2,455.53% | |
| Qualcomm Inc. | — | 547.82% | 553.50% | 331.81% | 372.61% | 739.14% | |
| Texas Instruments Inc. | — | 645.94% | 570.65% | 565.70% | 853.39% | 887.48% | |
Based on: 10-K (reporting date: 2026-06-30), 10-K (reporting date: 2025-06-30), 10-K (reporting date: 2024-06-30), 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30).
1 MVA. See details »
2 Invested capital. See details »
3 2026 Calculation
MVA spread ratio = 100 × MVA ÷ Invested capital
= 100 × 244,641,119 ÷ 10,301,582 = 2,374.79%
4 Click competitor name to see calculations.
An analysis of the financial metrics from June 2021 through June 2026 reveals a period of substantial expansion in shareholder wealth creation and an increasing efficiency in capital utilization. The most prominent trend is the exponential growth in market value relative to the steady increase in the capital base.
- Market Value Added (MVA)
- A consistent upward trajectory is observed in the MVA, which grew from 50,197,852 thousand USD in June 2021 to 244,641,119 thousand USD by June 2026. The growth pattern accelerates significantly after June 2023, with the most dramatic increase occurring between June 2025 and June 2026, where the value more than doubled. This indicates a strong and increasing market confidence in the company's ability to generate future returns above its cost of capital.
- Invested Capital
- Invested capital demonstrates a steady and moderate growth rate over the six-year period. Starting at 6,820,696 thousand USD in June 2021, it reached 10,301,582 thousand USD by June 2026. The stability of this growth suggests a disciplined approach to capital expenditure and investment, as the capital base increased by approximately 51% while the MVA increased by nearly 388% over the same timeframe.
- MVA Spread Ratio
- The MVA spread ratio exhibits an overall aggressive expansion, despite a marginal decline between June 2021 (735.96%) and June 2022 (664.85%). Following 2022, the ratio entered a phase of rapid acceleration, surpassing the 1,000% threshold in June 2024 and peaking at 2,374.79% in June 2026. This divergence between the spread ratio and the invested capital indicates that the market is valuing the company's intangible assets, growth prospects, and operational efficiency at a rate that far outpaces its physical or financial capital investments.
In summary, the widening gap between invested capital and market value added reflects a significant increase in the premium the market assigns to the company. The acceleration of the MVA spread ratio suggests that the company has achieved a high level of value creation efficiency, where minimal incremental increases in invested capital are yielding disproportionately high increases in market valuation.
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MVA Margin
KLA Corp., MVA margin calculation, comparison to benchmarks
| Jun 30, 2026 | Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Market value added (MVA)1 | 244,641,119) | 114,801,680) | 89,609,046) | 63,902,519) | 53,689,574) | 50,197,852) | |
| Revenues | 13,579,476) | 12,156,162) | 9,812,247) | 10,496,056) | 9,211,883) | 6,918,734) | |
| Add: Increase (decrease) in deferred system and service revenue | 61,450) | (68,553) | 537,235) | 237,683) | 339,621) | 1,648) | |
| Adjusted revenues | 13,640,926) | 12,087,609) | 10,349,482) | 10,733,739) | 9,551,504) | 6,920,382) | |
| Performance Ratio | |||||||
| MVA margin2 | 1,793.43% | 949.75% | 865.83% | 595.34% | 562.11% | 725.36% | |
| Benchmarks | |||||||
| MVA Margin, Competitors3 | |||||||
| Advanced Micro Devices Inc. | — | 760.86% | 481.21% | 944.62% | 297.25% | 836.71% | |
| Analog Devices Inc. | — | 803.27% | 763.82% | 422.86% | 388.08% | 757.72% | |
| Applied Materials Inc. | — | 658.93% | 445.92% | 449.88% | 297.74% | 520.10% | |
| Broadcom Inc. | — | 2,316.49% | 1,861.97% | 1,364.98% | 613.40% | 879.63% | |
| Intel Corp. | — | 263.29% | 50.65% | 231.83% | 78.99% | 155.07% | |
| Lam Research Corp. | 1,632.64% | 597.49% | 638.38% | 448.84% | 298.83% | 497.72% | |
| Marvell Technology Inc. | 789.23% | 818.12% | 794.86% | 329.04% | 893.35% | 828.99% | |
| Micron Technology Inc. | — | 435.43% | 286.66% | 225.16% | 29.56% | 135.02% | |
| NVIDIA Corp. | 2,123.15% | 2,389.97% | 2,669.68% | 2,051.63% | 2,368.66% | 1,919.74% | |
| Qualcomm Inc. | — | 387.02% | 438.87% | 291.70% | 248.18% | 445.16% | |
| Texas Instruments Inc. | — | 1,044.46% | 954.68% | 729.45% | 748.35% | 793.86% | |
Based on: 10-K (reporting date: 2026-06-30), 10-K (reporting date: 2025-06-30), 10-K (reporting date: 2024-06-30), 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30).
1 MVA. See details »
2 2026 Calculation
MVA margin = 100 × MVA ÷ Adjusted revenues
= 100 × 244,641,119 ÷ 13,640,926 = 1,793.43%
3 Click competitor name to see calculations.
The financial trajectory from June 30, 2021, to June 30, 2026, is characterized by a significant and accelerating expansion in market value relative to revenue growth. While both absolute market value and adjusted revenues exhibit an overall upward trend, the rate of increase in market value substantially outpaces revenue expansion, leading to a dramatic surge in the MVA margin over the analyzed period.
- Market Value Added (MVA) Trends
- A consistent upward trajectory is observed in the total Market Value Added, which rose from 50,197,852 thousand US$ in 2021 to 244,641,119 thousand US$ by 2026. The growth remained steady between 2021 and 2023, followed by a period of rapid acceleration starting in 2024. The most significant increase occurred between June 30, 2025, and June 30, 2026, where the MVA more than doubled, indicating a substantial increase in the market's valuation of the company's future performance and capital efficiency.
- Adjusted Revenue Performance
- Adjusted revenues demonstrate a general growth pattern, increasing from 6,920,382 thousand US$ in 2021 to 13,640,926 thousand US$ in 2026. Growth was robust between 2021 and 2023, followed by a slight contraction in 2024, where revenues dipped to 10,349,482 thousand US$. Recovery resumed in 2025 and continued through 2026, although the scale of revenue growth is significantly more conservative than the growth observed in the MVA.
- MVA Margin Analysis
- The MVA margin exhibits a volatile but ultimately aggressive upward trend. After an initial decline from 725.36% in 2021 to 562.11% in 2022, the margin began a sustained recovery. A notable inflection point occurred in 2024, where the margin climbed to 865.83%, despite a simultaneous decrease in adjusted revenues. This divergence suggests that the market valuation increased independently of immediate revenue performance. By June 30, 2026, the MVA margin reached 1,793.43%, reflecting an exponential increase in the value created per unit of revenue.
Overall, the data indicates a decoupling of market valuation from linear revenue growth. The exponential rise in the MVA margin suggests that the market is attributing increasing value to the company's strategic positioning, intellectual property, or future earnings potential rather than solely to current sales volume.
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