ASML (NASDAQ:ASML) Stock Price Up 2% – Should You Buy?

ASML Holding N.V. (NASDAQ:ASML)’s stock price was up 2% during trading on Thursday . The company traded as high as $1,858.73 and last traded at $1,804.25. 1,539,694 shares traded hands during mid-day trading, a decline of 18% from the average daily volume of 1,885,678 shares. The stock had previously closed at $1,768.65.

Key Stories Impacting ASML

Here are the key news stories impacting ASML this week:

• Positive Sentiment: Bernstein raised its price target on ASML and kept an Outperform rating, reinforcing the view that the company remains a long-term winner in advanced chip equipment demand.
• Positive Sentiment: Multiple recent articles argue ASML’s specialized lithography machines make it an essential supplier to AI chip makers, and that pullbacks tied to sector volatility may create buying opportunities. Article Title
• Positive Sentiment: ASML has also been highlighted as a potential beneficiary of renewed strength in semiconductor stocks and AI-related chip demand ahead of earnings. Article Title
• Neutral Sentiment: Short-interest data showed no meaningful increase in actual short positioning, so this does not appear to be a major bearish catalyst.
• Neutral Sentiment: One market note said ASML may beat earnings, but warned that a good report may not be enough to justify the stock’s valuation if guidance or broader chip demand disappoints. Article Title
• Negative Sentiment: Analysts and commentators continue to flag ASML’s lofty valuation, China export curbs, and rising competition as reasons to be cautious heading into results. Article Title
• Negative Sentiment: Recent semiconductor market swings and event-driven selling in Asian chip stocks have added volatility to the group, which can pressure ASML even when its long-term fundamentals remain strong.

Analyst Ratings Changes

ASML has been the subject of several research analyst reports. Weiss Ratings cut ASML from a “buy (b-)” rating to a “hold (c+)” rating in a report on Tuesday, May 26th. JPMorgan Chase & Co. increased their target price on ASML from $1,813.00 to $2,200.00 and gave the company a “buy” rating in a research report on Wednesday, June 3rd. Morningstar lowered shares of ASML to a “sell” rating in a report on Wednesday, May 27th. Wall Street Zen cut shares of ASML from a “buy” rating to a “hold” rating in a research report on Sunday, May 3rd. Finally, UBS Group reaffirmed a “buy” rating on shares of ASML in a research note on Wednesday, July 1st. Three analysts have rated the stock with a Strong Buy rating, twenty have issued a Buy rating, six have assigned a Hold rating and three have issued a Sell rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $1,854.12.

ASML Price Performance

The firm has a market capitalization of $706.85 billion, a P/E ratio of 64.47, a price-to-earnings-growth ratio of 1.37 and a beta of 1.78. The company has a current ratio of 1.36, a quick ratio of 0.78 and a debt-to-equity ratio of 0.13. The firm has a 50 day moving average price of $1,705.68 and a 200-day moving average price of $1,475.73.

ASML (NASDAQ:ASML) last released its earnings results on Monday, March 30th. The semiconductor company reported $8.28 earnings per share for the quarter. The firm 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%. On average, analysts expect that ASML Holding N.V. will post 36.62 earnings per share for the current year.

Hedge Funds Weigh In On ASML

A number of large investors have recently made changes to their positions in the company. Cornerstone Financial Management LLC purchased a new position in shares of ASML during the fourth quarter valued at approximately $26,000. Portus Wealth Advisors LLC purchased a new stake in shares of ASML in the first quarter worth approximately $32,000. Resources Management Corp CT ADV raised its holdings in shares of ASML by 1,150.0% in the fourth quarter. Resources Management Corp CT ADV now owns 25 shares of the semiconductor company’s stock worth $27,000 after buying an additional 23 shares during the period. North Star Investment Management Corp. lifted its stake in shares of ASML by 68.8% during the 4th quarter. North Star Investment Management Corp. now owns 27 shares of the semiconductor company’s stock worth $29,000 after acquiring an additional 11 shares during the last quarter. Finally, Jessup Wealth Management Inc purchased a new position in ASML during the 4th quarter valued at $30,000. 26.07% of the stock is owned by hedge funds and other institutional investors.

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.