ASML (NASDAQ:ASML) Trading Up 3.2% - Here's Why

Key Points

• ASML shares rose 3.2% on Monday, reaching as high as $1,868.60 as trading stayed in line with average volume. The move reflects continued investor optimism in the stock.
• Analysts remain bullish, with Bernstein saying the market is “badly wrong” on ASML and several firms raising price targets, including Wells Fargo and JPMorgan to $2,200. ASML now has a Moderate Buy consensus rating.
• Positive fundamentals are also supporting the stock, including strong demand for ASML’s EUV systems from chipmakers like SK Hynix and ongoing share buybacks that signal management confidence.

ASML Holding N.V. (NASDAQ:ASML - Get Free Report)'s stock price rose 3.2% on Monday . The company traded as high as $1,868.60 and last traded at $1,825.07. 1,896,848 shares traded hands during trading, an increase of 0% from the average session volume of 1,893,742 shares. The stock had previously closed at $1,769.32.

Key Stories Impacting ASML

Here are the key news stories impacting ASML this week:

• Positive Sentiment: Bernstein argued the market is “badly wrong” on ASML and said the stock still has meaningful upside after its strong run, reinforcing optimism around the company’s long-term earnings power. Bernstein Says the Street Is Badly Wrong on ASML
• Positive Sentiment: Another report highlighted ASML’s rally and said Bernstein believes the shares can keep climbing, with the stock benefiting from continued enthusiasm for AI-related chip spending. ASML Stock Gains Over 5% — Why Bernstein Thinks ASML Holding Can Keep Climbing After Nearly 140% Run In The Past Year
• Positive Sentiment: Reports that SK Hynix plans major spending on ASML EUV systems underscore continued demand for ASML’s high-end lithography tools, which supports revenue visibility. SK Hynix plans to spend 11.9T won to acquire ASML's EUV systems
• Positive Sentiment: ASML’s ongoing share buyback activity adds support for the stock and signals management confidence in the company’s valuation and cash generation. ASML reports transactions under its current share buyback program
• Neutral Sentiment: SK hynix’s planned Nasdaq listing and broader chip-sector strength are helping lift sentiment across semiconductor stocks, including ASML, though this is more of a sector tailwind than a company-specific catalyst. SK hynix to launch $28bn Nasdaq listing amid global AI chip demand
• Neutral Sentiment: News that Dutch trade officials are heading to China as Nexperia tensions and possible ASML export curbs loom could create policy uncertainty for the sector, but it is not yet a direct negative for ASML. Dutch trade minister heads to China as Nexperia dispute and ASML curbs loom
• Neutral Sentiment: Brokerage coverage remains constructive overall, with ASML receiving a “Moderate Buy” consensus rating, supporting the positive sentiment but not adding a major new catalyst. ASML Holding N.V. Receives Consensus Rating of "Moderate Buy" from Brokerages

Analyst Ratings Changes

Several equities research analysts have recently commented on ASML shares. Wells Fargo & Company upped their price target on ASML from $1,750.00 to $2,200.00 and gave the stock an "overweight" rating in a research note on Monday, June 22nd. JPMorgan Chase & Co. boosted their target price on ASML from $1,813.00 to $2,200.00 and gave the stock a "buy" rating in a research report on Wednesday, June 3rd. Berenberg Bank restated a "buy" rating on shares of ASML in a research report on Friday, May 8th. DZ Bank reiterated a "neutral" rating on shares of ASML in a research report on Wednesday, April 15th. Finally, Sanford C. Bernstein lifted their price objective on ASML from $1,971.00 to $2,623.00 and gave the company an "outperform" rating in a research report on Monday. Four investment analysts have rated the stock with a Strong Buy rating, twenty have given a Buy rating, five have given a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat.com, ASML has a consensus rating of "Moderate Buy" and an average price target of $1,854.12.

ASML Stock Performance

The firm has a market cap of $717.77 billion, a price-to-earnings ratio of 65.46, a PEG ratio of 1.34 and a beta of 1.78. The company has a quick ratio of 0.78, a current ratio of 1.36 and a debt-to-equity ratio of 0.13. The company has a 50 day moving average of $1,668.56 and a 200 day moving average of $1,452.61.

ASML (NASDAQ:ASML - Get Free Report) last announced its earnings results on Monday, March 30th. The semiconductor company reported $8.28 earnings per share (EPS) for the quarter. The company had revenue of $10.15 billion for the quarter. ASML had a return on equity of 48.69% and a net margin of 27.65%. As a group, equities research analysts expect that ASML Holding N.V. will post 36.62 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the stock. Gradient Investments LLC raised its stake in ASML by 424.3% during the 4th quarter. Gradient Investments LLC now owns 14,388 shares of the semiconductor company's stock valued at $15,393,000 after acquiring an additional 11,644 shares in the last quarter. Grantham Mayo Van Otterloo & Co. LLC increased its holdings in shares of ASML by 314.0% during the third quarter. Grantham Mayo Van Otterloo & Co. LLC now owns 24,626 shares of the semiconductor company's stock valued at $23,841,000 after purchasing an additional 18,677 shares during the period. Bingham Private Wealth LLC bought a new stake in shares of ASML during the fourth quarter valued at about $1,444,000. Cambridge Investment Research Advisors Inc. lifted its holdings in ASML by 3.5% in the fourth quarter. Cambridge Investment Research Advisors Inc. now owns 22,467 shares of the semiconductor company's stock worth $24,036,000 after purchasing an additional 760 shares during the period. Finally, Ervin Investment Management LLC grew its position in ASML by 1,236.4% in the 4th quarter. Ervin Investment Management LLC now owns 33,037 shares of the semiconductor company's stock valued at $35,000 after buying an additional 30,565 shares in the last quarter. 26.07% of the stock is owned by institutional investors and hedge funds.

ASML Company Profile

ASML Holding N.V. NASDAQ: ASML is a Dutch company that develops, manufactures and services advanced photolithography systems used to produce semiconductor chips. Headquartered in Veldhoven, Netherlands, ASML supplies capital equipment and associated software and services that enable semiconductor manufacturers to pattern the intricate circuits on silicon wafers. The company is widely recognized for its leadership in extreme ultraviolet (EUV) lithography as well as its deep ultraviolet (DUV) platforms used across multiple process nodes.

ASML's product portfolio includes EUV and DUV lithography machines, light sources, imaging optics and control software, together with spare parts, upgrades and field services.

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