ASML (NASDAQ:ASML) Stock Price Up 1.7% – Here’s Why

ASML Holding N.V. (NASDAQ:ASML) shot up 1.7% during mid-day trading on Tuesday. The stock traded as high as $1,575.60 and last traded at $1,552.14. 1,186,119 shares traded hands during trading, a decline of 32% from the average session volume of 1,737,949 shares. The stock had previously closed at $1,526.14.

Key ASML News

Here are the key news stories impacting ASML this week:

• Positive Sentiment: ASML’s customers are still making down payments for its equipment, suggesting demand for its lithography machines remains greater than available supply. The company’s position as the sole supplier of the most advanced EUV lithography systems also supports its longer-term role in AI chip manufacturing. ASML Sinks 8% as Post-Election Chip Rout Deepens
• Neutral Sentiment: The fourth-quarter delivery outlook is a key near-term operating indicator for investors to watch; the article did not identify a new company-specific development. ASML Stocks Fall as Investors Question the Next Spending Cycle
• Negative Sentiment: A post-election sell-off in chip stocks weighed on ASML, while investors questioned whether customers will sustain semiconductor equipment spending in the next cycle. That uncertainty is pressuring the shares despite signs of strong current demand. ASML Sinks 8% as Post-Election Chip Rout Deepens

Wall Street Analyst Weigh In

A number of research firms have commented on ASML. DZ Bank raised shares of ASML from a “hold” rating to a “strong-buy” rating in a research note on Thursday, July 16th. UBS Group restated a “buy” rating on shares of ASML in a report on Monday, September 28th. Weiss Ratings lowered ASML from a “buy (b)” rating to a “buy (b-)” rating in a research report on Friday, October 30th. Wells Fargo & Company boosted their price objective on shares of ASML from $2,200.00 to $2,500.00 and gave the company an “overweight” rating in a research report on Thursday, July 16th. Finally, Jefferies Financial Group reaffirmed a “neutral” rating on shares of ASML in a research report on Wednesday, September 30th. Three equities research analysts have rated the stock with a Strong Buy rating, seventeen have given a Buy rating, two have issued a Hold rating and three have issued a Sell rating to the company. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $2,079.12.

ASML Stock Performance

The stock’s 50-day moving average price is $1,683.46 and its 200 day moving average price is $1,599.36. The company has a quick ratio of 1.01, a current ratio of 1.49 and a debt-to-equity ratio of 0.09. The company has a market cap of $522.88 billion, a P/E ratio of 36.84, a price-to-earnings-growth ratio of 0.62 and a beta of 1.80.

ASML (NASDAQ:ASML) last posted its quarterly earnings data on Sunday, September 27th. The semiconductor company reported $14.71 earnings per share (EPS) for the quarter. ASML had a net margin of 34.10% and a return on equity of 64.24%. The business had revenue of $13.27 billion during the quarter. As a group, research analysts expect that ASML Holding N.V. will post 46.54 EPS for the current fiscal year.

ASML Cuts Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, November 4th. Shareholders of record on Tuesday, October 27th were issued a dividend of $2.1077 per share. This represents a $8.43 dividend on an annualized basis and a yield of 0.6%. This is a negative change from ASML’s previous quarterly dividend of $2.1507. The ex-dividend date was Tuesday, October 27th. ASML’s dividend payout ratio is currently 17.55%.

Hedge Funds Weigh In On ASML

A number of institutional investors have recently made changes to their positions in the business. Van ECK Associates Corp lifted its stake in ASML by 31.7% in the second quarter. Van ECK Associates Corp now owns 2,459,420 shares of the semiconductor company’s stock valued at $4,892,869,000 after acquiring an additional 592,125 shares during the last quarter. Arrowstreet Capital Limited Partnership grew its position in shares of ASML by 6.3% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 1,641,565 shares of the semiconductor company’s stock valued at $2,168,227,000 after acquiring an additional 96,860 shares during the period. Bank of America Corp DE increased its stake in shares of ASML by 1.2% during the 1st quarter. Bank of America Corp DE now owns 1,560,256 shares of the semiconductor company’s stock worth $2,060,833,000 after purchasing an additional 19,051 shares during the last quarter. BlackRock Inc. increased its stake in shares of ASML by 4.9% during the 2nd quarter. BlackRock Inc. now owns 1,282,190 shares of the semiconductor company’s stock worth $2,550,840,000 after purchasing an additional 59,888 shares during the last quarter. Finally, Dimensional Fund Advisors LP raised its holdings in shares of ASML by 1.8% in the 1st quarter. Dimensional Fund Advisors LP now owns 1,033,583 shares of the semiconductor company’s stock valued at $1,364,963,000 after purchasing an additional 18,768 shares during the period. 26.07% of the stock is currently owned by institutional investors.

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 helps customers transfer intricate circuit patterns onto silicon wafers, a critical step in the production of processors, memory chips and other semiconductor devices.

ASML’s product portfolio includes extreme ultraviolet (EUV) lithography systems, which support the production of the most advanced chips, as well as deep ultraviolet (DUV) lithography systems for a broad range of semiconductor applications.