ASML (NASDAQ:ASML) Shares Down 1.6% – Here’s Why

ASML Holding N.V. (NASDAQ:ASML)’s share price was down 1.6% on Wednesday. The stock traded as low as $1,785.74 and last traded at $1,804.96. Approximately 1,245,890 shares were traded during trading, a decline of 29% from the average session volume of 1,754,575 shares. The stock had previously closed at $1,834.10.

Trending Headlines about ASML

Here are the key news stories impacting ASML this week:

• Positive Sentiment: JPMorgan expects ASML to provide an initial 2027 outlook that could exceed current consensus, citing robust demand for the company’s semiconductor-manufacturing systems. That expectation could support the stock if confirmed in the earnings report. ASML could signal stronger-than-expected 2027 outlook, JP Morgan says
• Positive Sentiment: A bullish Seeking Alpha view raised its price target to $2,190, arguing that ASML’s technology leadership, capacity expansion and expected margin growth support a continued growth runway. The company is expected to validate its backloaded delivery ramp and full-year sales guidance of €43 billion–€45 billion. ASML: Buy Before Earnings As The Growth Runway Extends
• Positive Sentiment: Analysts continue to highlight ASML’s effective monopoly in extreme ultraviolet lithography, which is essential for producing leading-edge chips. AI infrastructure demand and potential collaboration with Samsung reinforce the company’s strategic importance. Can Rising AI Demand Drive Growth for ASML’s Advanced Technologies?
• Neutral Sentiment: ASML is scheduled to release quarterly results Wednesday. Investors will focus on bookings, shipment timing, full-year guidance, margins and management’s outlook for 2027. ASML Set to Release Quarterly Earnings on Wednesday
• Negative Sentiment: Shares are facing pressure from concerns that AI infrastructure spending could slow and that Chinese competitors may catch up in lower-end DUV equipment. These risks could challenge growth expectations even though ASML remains dominant in advanced lithography. ASML Stock Slips as High-NA Mask Shift Raises Execution Stakes
• Negative Sentiment: The shift toward High-NA technology raises execution stakes: investors will require evidence that ASML can deliver the new systems on schedule and convert its technological lead into profitable growth. The stock’s elevated valuation increases the risk of a negative reaction if results or guidance disappoint.

Analyst Upgrades and Downgrades

Several brokerages have weighed in on ASML. Bank of America lifted their price target on shares of ASML from $2,268.00 to $2,345.00 and gave the company a “buy” rating in a report on Monday, June 22nd. Wells Fargo & Company boosted their target price on shares of 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 upgraded shares of ASML from a “hold” rating to a “strong-buy” rating in a research report on Thursday, July 16th. Wall Street Zen cut ASML from a “buy” rating to a “hold” rating in a report on Saturday, August 15th. Finally, Morgan Stanley reissued an “overweight” rating on shares of ASML in a research note on Tuesday, July 7th. Three equities research analysts have rated the stock with a Strong Buy rating, nineteen have given a Buy rating, three have given a Hold rating and three have issued a Sell rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $1,981.44.

ASML Stock Down 1.6%

The company has a 50-day simple moving average of $1,729.86 and a 200 day simple moving average of $1,652.19. The company has a current ratio of 1.33, a quick ratio of 0.80 and a debt-to-equity ratio of 0.09. The company has a market cap of $709.85 billion, a P/E ratio of 56.16, a P/E/G ratio of 0.94 and a beta of 1.77.

ASML (NASDAQ:ASML) last announced its quarterly earnings data on Sunday, June 28th. The semiconductor company reported $8.65 earnings per share for the quarter. The company had revenue of $10.62 billion during the quarter. ASML had a net margin of 30.11% and a return on equity of 52.71%. On average, equities analysts anticipate that ASML Holding N.V. will post 43.86 EPS for the current year.

ASML Cuts Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, August 5th. Shareholders of record on Tuesday, July 28th were issued a $2.1507 dividend. The ex-dividend date was Tuesday, July 28th. This represents a $8.60 annualized dividend and a dividend yield of 0.5%. This is a negative change from ASML’s previous quarterly dividend of $3.1771. ASML’s dividend payout ratio (DPR) is currently 22.62%.

Institutional Investors Weigh In On ASML

Several hedge funds have recently modified their holdings of ASML. Van ECK Associates Corp lifted its holdings in ASML by 31.7% during the second quarter. Van ECK Associates Corp now owns 2,459,420 shares of the semiconductor company’s stock worth $4,892,869,000 after buying an additional 592,125 shares during the period. Arrowstreet Capital Limited Partnership boosted its holdings in ASML by 6.3% in the first quarter. Arrowstreet Capital Limited Partnership now owns 1,641,565 shares of the semiconductor company’s stock worth $2,168,227,000 after acquiring an additional 96,860 shares in the last quarter. Bank of America Corp DE grew its stake in shares of ASML by 1.2% during the first quarter. Bank of America Corp DE now owns 1,560,256 shares of the semiconductor company’s stock worth $2,060,833,000 after acquiring an additional 19,051 shares during the last quarter. BlackRock Inc. grew its stake in shares of ASML by 4.9% during the second quarter. BlackRock Inc. now owns 1,282,190 shares of the semiconductor company’s stock worth $2,550,840,000 after acquiring an additional 59,888 shares during the last quarter. Finally, Dimensional Fund Advisors LP increased its holdings in shares of ASML by 1.8% during the first quarter. Dimensional Fund Advisors LP now owns 1,033,583 shares of the semiconductor company’s stock valued at $1,364,963,000 after acquiring an additional 18,768 shares in the last quarter. Hedge funds and other institutional investors own 26.07% of the company’s stock.

About ASML

ASML Holding N.V. is a Netherlands-based technology company that develops and manufactures advanced lithography systems used by semiconductor manufacturers to produce integrated circuits. Its equipment projects patterns onto silicon wafers, enabling the creation of increasingly smaller and more powerful semiconductor features.

ASML’s product portfolio includes extreme ultraviolet (EUV) lithography systems, deep ultraviolet (DUV) lithography systems, and related metrology and inspection solutions.