ASML (NASDAQ:ASML) Shares Up 3.1% – Still a Buy?

ASML Holding N.V. (NASDAQ:ASML) was up 3.1% during mid-day trading on Friday . The stock traded as high as $1,681.61 and last traded at $1,679.92. 2,470,580 shares traded hands during trading, an increase of 38% from the average daily volume of 1,785,379 shares. The stock had previously closed at $1,629.67.

Key Stories Impacting ASML

Here are the key news stories impacting ASML this week:

• Positive Sentiment: ASML’s Installed Base Management business generated a reported 31.8% sales increase, supported by upgrades and the growing number of extreme-ultraviolet (EUV) systems in operation. The recurring service and upgrade business could provide more stable growth, although its durability depends on customers continuing to expand production. ASML Rides on Strength in Installed Base Business: Will it Sustain?
• Positive Sentiment: Demand for AI chips is shifting ASML’s primary constraint from customer interest to manufacturing capacity. Reports that 110 EUV machines are being tested for faster assembly suggest the company is working to increase throughput and capitalize on strong semiconductor-fabrication demand. ASML Gains as 110 EUV Machines Test Assembly Speed
• Positive Sentiment: ASML plans to deepen its presence in India as Tata Electronics develops a semiconductor fab. Support for India’s push to produce automotive chips could create a long-term regional growth opportunity, particularly if the country’s semiconductor market approaches the projected $120 billion size by 2030. ASML to Deepen India Presence
• Positive Sentiment: ASML’s position as the sole supplier of leading-edge EUV lithography equipment remains a major competitive moat. Its importance to advanced-chip manufacturing—and continued reliance on ASML by major foundries—supports the company’s long-term strategic value. Chasing ASML’s Dominance

Analyst Ratings Changes

Several brokerages have recently weighed in on ASML. Citigroup reiterated a “buy” rating on shares of ASML in a research note on Friday, July 17th. Wells Fargo & Company raised their target price on ASML from $2,200.00 to $2,500.00 and gave the stock an “overweight” rating in a report on Thursday, July 16th. DZ Bank raised ASML from a “hold” rating to a “strong-buy” rating in a report on Thursday, July 16th. Jefferies Financial Group restated a “neutral” rating on shares of ASML in a research report on Monday, June 1st. Finally, Morningstar lowered shares of ASML to a “sell” rating in a research report on Wednesday, May 27th. Three equities research analysts have rated the stock with a Strong Buy rating, twenty have assigned a Buy rating, five have given a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $1,970.33.

ASML Trading Up 3.1%

The stock has a market cap of $660.69 billion, a P/E ratio of 52.27, a price-to-earnings-growth ratio of 0.81 and a beta of 1.79. The stock’s 50-day moving average is $1,722.88 and its two-hundred day moving average is $1,614.54. The company has a debt-to-equity ratio of 0.09, a current ratio of 1.33 and a quick ratio of 0.80.

ASML (NASDAQ:ASML) last announced its quarterly earnings results on Sunday, June 28th. The semiconductor company reported $8.65 EPS for the quarter. ASML had a net margin of 30.11% and a return on equity of 52.71%. The business had revenue of $10.62 billion for the quarter. Equities research analysts anticipate that ASML Holding N.V. will post 44.1 EPS for the current year.

ASML Cuts Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, August 5th. Investors of record on Tuesday, July 28th were given a $2.1507 dividend. This represents a $8.60 dividend on an annualized basis and a dividend yield of 0.5%. The ex-dividend date was Tuesday, July 28th. ASML’s payout ratio is currently 22.59%.

Institutional Trading of ASML

A number of large investors have recently made changes to their positions in ASML. Cornerstone Financial Management LLC purchased a new position in shares of ASML in the 4th quarter valued at about $26,000. NBH Bank purchased a new position in ASML during the second quarter worth approximately $26,000. Field & Main Bank acquired a new stake in ASML in the second quarter valued at approximately $30,000. Portus Wealth Advisors LLC acquired a new stake in ASML in the first quarter valued at approximately $32,000. Finally, Evolution Wealth Management Inc. purchased a new stake in shares of ASML in the fourth quarter valued at approximately $33,000. 26.07% of the stock is currently owned by institutional investors.

ASML Company Profile

ASML Holding N.V. is a Netherlands-based technology company that develops and manufactures lithography systems used by semiconductor manufacturers to produce integrated circuits. Its equipment uses light to project intricate circuit patterns onto silicon wafers, an essential step in the production of chips for computers, smartphones, automobiles, data centers and other electronic devices.

The company’s product portfolio includes extreme ultraviolet (EUV) lithography systems, deep ultraviolet (DUV) lithography systems and advanced metrology and inspection technologies.