The Outlook for 3 Non-U.S. Chip Stocks That Soared in 2025

Key Points

• While many U.S. chip stocks posted big gains in 2025, international names also had their day in the sun.
• Three stocks involved in wafer fabrication equipment delivered returns of 30% or more.
• Key factors support the outlook for these three names going forward.

As a whole, large-cap semiconductor stocks performed impressively in 2025. The performance of the iShares Semiconductor ETF NASDAQ: SOXX demonstrates this. This ETF tracks the performance of a basket of U.S.-listed large-cap chip stocks. Overall, SOXX delivered a total return of just under 41% last year, more than double the S&P 500’s 18% return.

However, the semiconductor industry exists within a large global supply chain. Companies from Europe to Asia to the Middle East provide important goods and services that support the industry, making chip stocks in those regions worth investors' attention.

Below, we’ll detail three international chip stocks that performed well in 2025 and assess their outlooks after a strong year. All three are on the wafer fabrication equipment (WFE) side of the industry, providing key equipment to chip manufacturers.

Tokyo Electron: A WFE Giant and Key ASML Partner

First up is Tokyo Electron OTCMKTS: TOELY. With a market capitalization of over $110 billion, the Japan-based firm is one of the largest players in the WFE industry. In three out of the last four quarters, the company has posted solid revenue growth of 11% or more.

Tokyo Electron makes machines that aid various parts of the chip-making process, but has a particularly strong position with coater/developer systems. These systems work closely with lithography machines, like those made by ASML NASDAQ: ASML.

According to internal estimates, the company holds 100% market share in supplying coater/developers for extreme ultraviolet (EUV) lithography. EUV lithography machines are among ASML’s most cutting-edge systems that are vital to building more advanced chips. ASML effectively holds a monopoly in EUV lithography.

Thus, Tokyo Electron is in an advantageous position, having a monopoly in systems that enable EUV lithography. This is one of the key factors that support the firm’s long-term outlook. The company will work to improve its systems as ASML improves theirs, helping both firms ride the long-term trend of semiconductor advancement.

Nearer-term, memory chip demand also supports Tokyo Electron’s outlook. As fabricators work to increase supply and complexity, the company’s equipment should see significant demand.

Industry Growth and High NA EUV Support ASML’s Long-Term Potential

Speaking of ASML, the stock also makes the list as one of the top international chip stocks of 2025. Shares of the Dutch company delivered a total return of nearly 56%. Sales spiked 46% in Q1 2025; however, growth fell to less than 1% last quarter. Still, optimism around rising memory chip investment helped shares soar in the second half of 2025.

ASML’s dominance in advanced lithography greatly supports its long-term outlook, and the firm continues to innovate. ASML’s High NA EUV machine is its most advanced product yet, with a price tag of around $380 million.

While mass adoption of this product is far off, Intel NASDAQ: INTC is using it to become more competitive in developing cutting-edge chips. ASML's CEO Christophe Fouquet expects its high-NA EUV manufacturing to scale significantly in 2027 and 2028. The potential adoption of these machines over the next several years is a key factor supporting ASML’s outlook.

Furthermore, analysts expect WFE industry revenue to rise by around $20 billion to $135 billion by 2027. This is an important tailwind supporting ASML’s outlook, as well as the other two firms on this list.

CAMT Can Benefit From HBM Advancement

Last up is Camtek NASDAQ: CAMT. The Israeli company saw its shares deliver a nearly 32% return in 2025. Over the past four quarters, Camtek’s revenue grew by 12% or more.

Camtek is a much smaller firm in the WFE industry, with a market cap of only $6 billion. The company makes inspection and metrology equipment, an area where KLA NASDAQ: KLAC is a leader. Within this space, Camtek’s equipment focuses largely on enabling advanced chip packaging. Advanced chip packaging is critical for building high-bandwidth memory (HBM) chips.

In this niche focus, Camtek is a leader. All major HBM makers have qualified Camtek’s tools for use in developing the next generation of HBM chips, known as HBM4.

This is a key advantage for Camtek, considering that NVIDIA’s NASDAQ: NVDA next-generation Rubin servers will use HBM4. Analysts expect mass HBM4 production to begin no earlier than Q1 2026.

For its part, Camtek sees its HBM business more than doubling in the next three years. Overall, Camtek’s solid positioning as it relates to HBM4 supports its outlook going forward.