ASML (NASDAQ:ASML) Stock Price Down 4.7% – Here’s Why

ASML Holding N.V. (NASDAQ:ASML)’s share price was down 4.7% on Tuesday . The company traded as low as $1,802.61 and last traded at $1,803.89. Approximately 1,780,363 shares were traded during trading, a decline of 4% from the average daily volume of 1,847,376 shares. The stock had previously closed at $1,892.66.

Key Stories Impacting ASML

Here are the key news stories impacting ASML this week:

• Positive Sentiment: ASML continues to benefit from strong AI-related chip demand, with articles highlighting its EUV lithography leadership, record order book, and raised outlook as reasons investors remain bullish on the stock.
• Positive Sentiment: Sanford C. Bernstein reiterated a buy rating, reinforcing confidence in ASML’s long-term position in advanced chip manufacturing.
• Positive Sentiment: The company is still repurchasing shares under its buyback program, which can support earnings per share and signal management confidence in the business.
• Neutral Sentiment: Several recent commentary pieces suggest ASML remains a “rare” and strategically important company for AI and next-generation chip production, but the articles are largely opinion-driven rather than new company-specific developments.
• Neutral Sentiment: Broader strength in semiconductor ETFs and sector momentum is also helping sentiment across chip stocks, including ASML, though this is more of an industry tailwind than a direct catalyst.
• Negative Sentiment: Some analysts and commentators are warning that ASML’s valuation is rich after its strong run, with mixed earnings estimates and high trailing earnings multiples creating risk of profit-taking.
• Negative Sentiment: A few articles argue investors may prefer other AI stocks after ASML’s sharp rise, which could signal that expectations are becoming stretched.

Wall Street Analysts Forecast Growth

A number of analysts have weighed in on ASML shares. Deutsche Bank Aktiengesellschaft restated a “buy” rating on shares of ASML in a report on Thursday, April 16th. Berenberg Bank restated a “buy” rating on shares of ASML in a report on Friday, May 8th. Morningstar lowered ASML to a “sell” rating in a report on Wednesday, May 27th. Jefferies Financial Group restated a “neutral” rating on shares of ASML in a report on Monday, June 1st. Finally, Weiss Ratings lowered ASML from a “buy (b-)” rating to a “hold (c+)” rating in a report on Tuesday, May 26th. Four research analysts have rated the stock with a Strong Buy rating, twenty have assigned a Buy rating, five have issued a Hold rating and three have given a Sell rating to the stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $1,589.63.

ASML Stock Performance

The firm has a fifty day moving average price of $1,551.33 and a 200 day moving average price of $1,378.24. The company has a debt-to-equity ratio of 0.13, a quick ratio of 0.78 and a current ratio of 1.36. The stock has a market cap of $709.60 billion, a PE ratio of 64.72, a price-to-earnings-growth ratio of 1.49 and a beta of 1.82.

ASML (NASDAQ:ASML) last issued its quarterly earnings data on Monday, March 30th. The semiconductor company reported $8.28 EPS for the quarter. ASML had a return on equity of 48.69% and a net margin of 27.65%.The firm had revenue of $10.15 billion during the quarter. Research analysts forecast that ASML Holding N.V. will post 36.86 earnings per share for the current fiscal year.

Institutional Trading of ASML

Hedge funds and other institutional investors have recently made changes to their positions in the business. Cornerstone Financial Management LLC purchased a new stake in shares of ASML during the 4th quarter valued at $26,000. Binnacle Investments Inc lifted its holdings in shares of ASML by 78.9% during the 2nd quarter. Binnacle Investments Inc now owns 34 shares of the semiconductor company’s stock valued at $27,000 after purchasing an additional 15 shares during the last quarter. Resources Management Corp CT ADV lifted its holdings in shares of ASML by 1,150.0% during the 4th quarter. Resources Management Corp CT ADV now owns 25 shares of the semiconductor company’s stock valued at $27,000 after purchasing an additional 23 shares during the last quarter. North Star Investment Management Corp. lifted its holdings 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 valued at $29,000 after purchasing an additional 11 shares during the last quarter. Finally, Jessup Wealth Management Inc acquired a new position in shares of ASML in the 4th quarter valued at $30,000. Hedge funds and other institutional investors own 26.07% of the company’s stock.

About ASML

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.