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

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

More ASML News

Here are the key news stories impacting ASML this week:

• Positive Sentiment: Strong Q3 expectations ahead of Oct. 14 earnings: Analysts expect robust EUV demand, potentially better-than-expected third-quarter results, a higher fourth-quarter outlook, approximately 53% year-over-year sales growth and gross-margin expansion to 56%. Backlog support from TSMC, Samsung and Intel is viewed as a key catalyst. ASML Has All The Ingredients for a Breakout ASML Poised for Q3 Upside
• Positive Sentiment: Capacity remains highly constrained: ASML’s EUV capacity is reportedly booked through 2027, reinforcing pricing power and revenue visibility. Investors are looking for a commitment to additional 2028 capacity, which could support another leg higher if confirmed. Why ASML’s Capacity Is Fully Booked Through 2027 ASML Stock and a Breakout
• Positive Sentiment: Installed-base revenue is growing: Management revenue increased to €2.762 billion in the second quarter from €2.488 billion in the first, providing support from machines already operating at customer fabs. However, the category includes upgrades and options as well as service revenue. ASML’s Installed-Base Revenue Is Growing
• Neutral Sentiment: Long-term technology roadmap: ASML and Zeiss are working toward Hyper-NA EUV, but the next-generation lithography technology may not be ready for roughly a decade, making it a long-term opportunity rather than an immediate earnings driver. Hyper-NA EUV
• Negative Sentiment: Valuation and execution risks remain: After substantial gains, investors may demand strong guidance to support ASML’s premium valuation. Debate over whether AI-chip demand can meet expectations, export controls and ASML’s approximately $1.3 billion investment in Mistral—about an 11% stake—add uncertainty. AI Chip Demand Meets Reality ASML Tests Its Valuation

Analyst Ratings Changes

A number of equities analysts have issued reports on ASML shares. Wells Fargo & Company raised 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 note on Thursday, July 16th. Morgan Stanley reissued an “overweight” rating on shares of ASML in a research note on Tuesday, July 7th. Jefferies Financial Group restated a “neutral” rating on shares of ASML in a research report on Wednesday, September 30th. Argus set a $2,100.00 price target on ASML in a research report on Thursday, July 16th. Finally, Citigroup reaffirmed a “buy” rating on shares of ASML in a research note on Friday, July 17th. Three research analysts have rated the stock with a Strong Buy rating, nineteen have given a Buy rating, three have assigned a Hold rating and three have assigned a Sell rating to the company’s stock. According to MarketBeat, ASML currently has a consensus rating of “Moderate Buy” and a consensus price target of $1,981.44.

ASML Price Performance

The company’s 50 day simple moving average is $1,737.31 and its 200 day simple moving average is $1,658.47. The company has a debt-to-equity ratio of 0.09, a current ratio of 1.33 and a quick ratio of 0.80. The stock has a market cap of $700.07 billion, a P/E ratio of 55.42, a P/E/G ratio of 0.81 and a beta of 1.77.

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

ASML Cuts Dividend

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

Institutional Investors Weigh In On ASML

A number of hedge funds have recently modified their holdings of the business. Van ECK Associates Corp raised its holdings in ASML by 31.7% during the 2nd 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 increased its position in shares of ASML by 6.3% during 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 raised its holdings 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 period. BlackRock Inc. raised its holdings 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 period. Finally, Dimensional Fund Advisors LP lifted its position in 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 acquiring an additional 18,768 shares in the last quarter. Institutional investors and hedge funds 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.