ASML HOLDING NV (1ASML.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1ASML - NL0010273215 - Common Stock
1189.8 EUR
-34.8 (-2.84%)
1ASML gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 69 industry peers in the Semiconductors & Semiconductor Equipment industry. Both the health and profitability get an excellent rating, making 1ASML a very profitable company, without any liquidiy or solvency issues. 1ASML is valued quite expensive, but it does show an excellent growth. These ratings would make 1ASML suitable for growth and quality investing!
1. Profitability
1.1 Basic Checks
- In the past year 1ASML was profitable.
- In the past year 1ASML had a positive cash flow from operations.
- Each year in the past 5 years 1ASML has been profitable.
- In the past 5 years 1ASML always reported a positive cash flow from operatings.
1.2 Ratios
- The Return On Assets of 1ASML (20.71%) is better than 88.41% of its industry peers.
- 1ASML's Return On Equity of 47.39% is amongst the best of the industry. 1ASML outperforms 88.41% of its industry peers.
- 1ASML has a Return On Invested Capital of 32.62%. This is amongst the best in the industry. 1ASML outperforms 89.86% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for 1ASML is significantly above the industry average of 14.31%.
- The last Return On Invested Capital (32.62%) for 1ASML is above the 3 year average (27.67%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.71% | ||
| ROE | 47.39% | ||
| ROIC | 32.62% |
ROA(3y)17.06%
ROA(5y)16.62%
ROE(3y)48.22%
ROE(5y)44.12%
ROIC(3y)27.67%
ROIC(5y)25.41%
1.3 Margins
- 1ASML has a better Profit Margin (31.73%) than 84.06% of its industry peers.
- In the last couple of years the Profit Margin of 1ASML has grown nicely.
- The Operating Margin of 1ASML (37.74%) is better than 88.41% of its industry peers.
- In the last couple of years the Operating Margin of 1ASML has grown nicely.
- Looking at the Gross Margin, with a value of 51.93%, 1ASML is in the better half of the industry, outperforming 60.87% of the companies in the same industry.
- In the last couple of years the Gross Margin of 1ASML has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 37.74% | ||
| PM (TTM) | 31.73% | ||
| GM | 51.93% |
OM growth 3Y-1.42%
OM growth 5Y8.87%
PM growth 3Y-3.59%
PM growth 5Y6.23%
GM growth 3Y-0.04%
GM growth 5Y4.04%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so 1ASML is creating value.
- Compared to 1 year ago, 1ASML has about the same amount of shares outstanding.
- 1ASML has less shares outstanding than it did 5 years ago.
- 1ASML has a better debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 12.38 indicates that 1ASML is not in any danger for bankruptcy at the moment.
- 1ASML has a better Altman-Z score (12.38) than 73.91% of its industry peers.
- 1ASML has a debt to FCF ratio of 0.51. This is a very positive value and a sign of high solvency as it would only need 0.51 years to pay back of all of its debts.
- 1ASML has a Debt to FCF ratio of 0.51. This is amongst the best in the industry. 1ASML outperforms 81.16% of its industry peers.
- 1ASML has a Debt/Equity ratio of 0.17. This is a healthy value indicating a solid balance between debt and equity.
- 1ASML has a Debt to Equity ratio of 0.17. This is comparable to the rest of the industry: 1ASML outperforms 59.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 0.51 | ||
| Altman-Z | 12.38 |
ROIC/WACC3
WACC10.88%
2.3 Liquidity
- 1ASML has a Current Ratio of 1.41. This is a normal value and indicates that 1ASML is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 1.41, 1ASML is doing worse than 92.75% of the companies in the same industry.
- A Quick Ratio of 0.79 indicates that 1ASML may have some problems paying its short term obligations.
- 1ASML has a Quick ratio of 0.79. This is amonst the worse of the industry: 1ASML underperforms 92.75% of its industry peers.
- 1ASML does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.41 | ||
| Quick Ratio | 0.79 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 37.61% over the past year.
- 1ASML shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 25.62% yearly.
- The Revenue has been growing slightly by 2.56% in the past year.
- Measured over the past years, 1ASML shows a quite strong growth in Revenue. The Revenue has been growing by 19.05% on average per year.
EPS 1Y (TTM)37.61%
EPS 3Y10.24%
EPS 5Y25.62%
EPS Q2Q%3.79%
Revenue 1Y (TTM)2.56%
Revenue growth 3Y14.94%
Revenue growth 5Y19.05%
Sales Q2Q%0.65%
3.2 Future
- Based on estimates for the next years, 1ASML will show a quite strong growth in Earnings Per Share. The EPS will grow by 19.44% on average per year.
- Based on estimates for the next years, 1ASML will show a quite strong growth in Revenue. The Revenue will grow by 12.10% on average per year.
EPS Next Y31.8%
EPS Next 2Y19.18%
EPS Next 3Y21.41%
EPS Next 5Y19.44%
Revenue Next Year16.7%
Revenue Next 2Y10.56%
Revenue Next 3Y12.02%
Revenue Next 5Y12.1%
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
- Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 49.12, the valuation of 1ASML can be described as expensive.
- Compared to the rest of the industry, the Price/Earnings ratio of 1ASML indicates a slightly more expensive valuation: 1ASML is more expensive than 63.77% of the companies listed in the same industry.
- 1ASML's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 28.39.
- With a Price/Forward Earnings ratio of 43.54, 1ASML can be considered very expensive at the moment.
- 75.36% of the companies in the same industry are cheaper than 1ASML, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 25.72. 1ASML is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 49.12 | ||
| Fwd PE | 43.54 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, 1ASML is valued a bit more expensive than 65.22% of the companies in the same industry.
- 62.32% of the companies in the same industry are more expensive than 1ASML, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 49.66 | ||
| EV/EBITDA | 34.78 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- 1ASML has an outstanding profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as 1ASML's earnings are expected to grow with 21.41% in the coming years.
PEG (NY)1.54
PEG (5Y)1.92
EPS Next 2Y19.18%
EPS Next 3Y21.41%
5. Dividend
5.1 Amount
- 1ASML has a yearly dividend return of 0.56%, which is pretty low.
- Compared to an average industry Dividend Yield of 0.74, 1ASML has a dividend in line with its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.82, 1ASML's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.56% |
5.2 History
- The dividend of 1ASML is nicely growing with an annual growth rate of 14.61%!
Dividend Growth(5Y)14.61%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 1ASML pays out 24.55% of its income as dividend. This is a sustainable payout ratio.
- 1ASML's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP24.55%
EPS Next 2Y19.18%
EPS Next 3Y21.41%
ASML HOLDING NV / 1ASML.MI FAQ
What is the ChartMill fundamental rating of ASML HOLDING NV (1ASML.MI) stock?
ChartMill assigns a fundamental rating of 7 / 10 to 1ASML.MI.
Can you provide the valuation status for ASML HOLDING NV?
ChartMill assigns a valuation rating of 3 / 10 to ASML HOLDING NV (1ASML.MI). This can be considered as Overvalued.
Can you provide the profitability details for ASML HOLDING NV?
ASML HOLDING NV (1ASML.MI) has a profitability rating of 9 / 10.
What is the financial health of ASML HOLDING NV (1ASML.MI) stock?
The financial health rating of ASML HOLDING NV (1ASML.MI) is 7 / 10.
Is the dividend of ASML HOLDING NV sustainable?
The dividend rating of ASML HOLDING NV (1ASML.MI) is 4 / 10 and the dividend payout ratio is 24.55%.