ASML (NASDAQ:ASML) Shares Up 3.6% – Still a Buy?

ASML Holding N.V. (NASDAQ:ASML)’s share price rose 3.6% during mid-day trading on Tuesday. The company traded as high as $1,841.77 and last traded at $1,834.39. Approximately 1,645,433 shares changed hands during mid-day trading, a decline of 7% from the average session volume of 1,766,787 shares. The stock had previously closed at $1,771.41.

Key ASML News

Here are the key news stories impacting ASML this week:

• Positive Sentiment: ASML benefited from a broader rally in chip-equipment stocks as investors increased exposure to AI infrastructure. The company’s constructive demand outlook for advanced lithography systems and recent analyst support reinforced the positive sentiment. ASML Rises as Chip Equipment Stocks Gain on AI Demand Optimism
• Positive Sentiment: ASML recently reported approximately €9.3 billion in second-quarter sales and raised its 2026 outlook, supporting expectations that AI-related semiconductor investment will continue to drive demand for its equipment. Its expanded collaboration with Samsung on High NA EUV and next-generation manufacturing also signals strong customer commitment to its technology roadmap. ASML Rises as Chip Equipment Stocks Gain on AI Demand Optimism
• Positive Sentiment: UBS reaffirmed its “Buy” rating, adding to constructive analyst sentiment around ASML’s long-term growth prospects. Several analysts have also published price targets above the stock’s recent trading level. UBS Group Reaffirms Buy Rating for ASML
• Positive Sentiment: ASML continued its share-buyback program, which may provide modest support for earnings per share and investor confidence. ASML Reports Transactions Under Its Current Share Buyback Program
• Neutral Sentiment: Competition among chip-equipment suppliers is intensifying as KLA’s backlog and AI-driven spending improve the outlook for the broader industry. This supports sector demand but highlights the competitive environment ASML faces, particularly in advanced packaging and semiconductor manufacturing equipment. KLA’s Backlog Surges on AI Demand

Analysts Set New Price Targets

A number of equities analysts recently commented on the stock. Sanford C. Bernstein lifted their target price on shares of ASML from $1,971.00 to $2,623.00 and gave the stock an “outperform” rating in a research report on Monday, July 6th. Jefferies Financial Group reaffirmed a “neutral” rating on shares of ASML in a research note on Monday, June 1st. DZ Bank upgraded ASML from a “hold” rating to a “strong-buy” rating in a report on Thursday, July 16th. Citigroup restated a “buy” rating on shares of ASML in a report on Friday, July 17th. Finally, Morgan Stanley restated an “overweight” rating on shares of ASML in a research report on Tuesday, July 7th. Three investment analysts have rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating, five have issued a Hold rating and three have given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $1,970.33.

ASML Stock Up 3.6%

The firm has a market cap of $721.43 billion, a PE ratio of 57.08, a PEG ratio of 0.88 and a beta of 1.79. The company has a debt-to-equity ratio of 0.09, a quick ratio of 0.80 and a current ratio of 1.33. The company’s 50-day simple moving average is $1,717.57 and its two-hundred day simple moving average is $1,632.39.

ASML (NASDAQ:ASML) last released its quarterly earnings data on Sunday, June 28th. The semiconductor company reported $8.65 earnings per share (EPS) for the quarter. The firm had revenue of $10.62 billion for the quarter. ASML had a net margin of 30.11% and a return on equity of 52.71%. On average, analysts predict that ASML Holding N.V. will post 44.03 earnings per share for the current fiscal year.

ASML Cuts Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, August 5th. Shareholders of record on Tuesday, July 28th were given a dividend of $2.1507 per share. This represents a $8.60 dividend on an annualized basis and a yield of 0.5%. The ex-dividend date of this dividend was Tuesday, July 28th. This is a negative change from ASML’s previous quarterly dividend of $3.1771. ASML’s dividend payout ratio is currently 22.62%.

Hedge Funds Weigh In On ASML

Hedge funds and other institutional investors have recently made changes to their positions in the business. QRG Capital Management Inc. boosted its holdings in ASML by 12.5% in the second quarter. QRG Capital Management Inc. now owns 26,167 shares of the semiconductor company’s stock valued at $52,057,000 after acquiring an additional 2,913 shares in the last quarter. Envestnet Portfolio Solutions Inc. lifted its position in shares of ASML by 18.1% in the 2nd quarter. Envestnet Portfolio Solutions Inc. now owns 4,337 shares of the semiconductor company’s stock worth $8,628,000 after purchasing an additional 665 shares during the period. Envestnet Asset Management Inc. boosted its stake in shares of ASML by 6.5% during the 2nd quarter. Envestnet Asset Management Inc. now owns 440,721 shares of the semiconductor company’s stock valued at $876,783,000 after purchasing an additional 27,021 shares in the last quarter. State Street Corp boosted its stake in shares of ASML by 4.4% during the 2nd quarter. State Street Corp now owns 85,872 shares of the semiconductor company’s stock valued at $170,851,000 after purchasing an additional 3,632 shares in the last quarter. Finally, Twin Peaks Capital Ltd purchased a new position in shares of ASML during the second quarter valued at about $5,968,000. 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.