ASML HOLDING NV (ASML.AS) Stock Fundamental Analysis
AMS:ASML - Euronext Amsterdam - NL0010273215 - Common Stock - Currency: EUR
Overall ASML gets a fundamental rating of 7 out of 10. We evaluated ASML against 51 industry peers in the Semiconductors & Semiconductor Equipment industry. ASML scores excellent points on both the profitability and health parts. This is a solid base for a good stock. ASML is growing strongly while it is still valued neutral. This is a good combination! These ratings could make ASML a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
ASML had positive earnings in the past year.
In the past year ASML had a positive cash flow from operations.
In the past 5 years ASML has always been profitable.
In the past 5 years ASML always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 15.58%, ASML belongs to the best of the industry, outperforming 86.27% of the companies in the same industry.
The Return On Equity of ASML (40.98%) is better than 94.12% of its industry peers.
With an excellent Return On Invested Capital value of 25.98%, ASML belongs to the best of the industry, outperforming 94.12% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for ASML is significantly above the industry average of 15.31%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.58% | ||
| ROE | 40.98% | ||
| ROIC | 25.98% |
ROA(3y)16.96%
ROA(5y)16.56%
ROE(3y)49.24%
ROE(5y)44.73%
ROIC(3y)27.9%
ROIC(5y)25.53%
1.3 Margins
Looking at the Profit Margin, with a value of 26.79%, ASML belongs to the top of the industry, outperforming 84.31% of the companies in the same industry.
ASML's Profit Margin has improved in the last couple of years.
ASML has a better Operating Margin (31.92%) than 80.39% of its industry peers.
ASML's Operating Margin has improved in the last couple of years.
ASML has a Gross Margin of 51.28%. This is in the better half of the industry: ASML outperforms 68.63% of its industry peers.
ASML's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.92% | ||
| PM (TTM) | 26.79% | ||
| GM | 51.28% |
OM growth 3Y-4.54%
OM growth 5Y6.79%
PM growth 3Y-6.68%
PM growth 5Y4.17%
GM growth 3Y0.44%
GM growth 5Y4.34%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so ASML is creating value.
Compared to 1 year ago, ASML has about the same amount of shares outstanding.
The number of shares outstanding for ASML has been reduced compared to 5 years ago.
ASML has a better debt/assets ratio than last year.
2.2 Solvency
ASML has an Altman-Z score of 7.19. This indicates that ASML is financially healthy and has little risk of bankruptcy at the moment.
ASML's Altman-Z score of 7.19 is in line compared to the rest of the industry. ASML outperforms 56.86% of its industry peers.
ASML has a debt to FCF ratio of 0.55. This is a very positive value and a sign of high solvency as it would only need 0.55 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 0.55, ASML belongs to the best of the industry, outperforming 84.31% of the companies in the same industry.
A Debt/Equity ratio of 0.21 indicates that ASML is not too dependend on debt financing.
ASML has a Debt to Equity ratio of 0.21. This is comparable to the rest of the industry: ASML outperforms 56.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 0.55 | ||
| Altman-Z | 7.19 |
ROIC/WACC2.47
WACC10.5%
2.3 Liquidity
A Current Ratio of 1.53 indicates that ASML should not have too much problems paying its short term obligations.
The Current ratio of ASML (1.53) is worse than 74.51% of its industry peers.
ASML has a Quick Ratio of 1.53. This is a bad value and indicates that ASML is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of ASML (0.99) is worse than 72.55% of its industry peers.
ASML 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 | 1.53 | ||
| Quick Ratio | 0.99 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 22.60% over the past year.
The Earnings Per Share has been growing by 25.62% on average over the past years. This is a very strong growth
The Revenue has been growing slightly by 2.56% in the past year.
ASML shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 19.05% yearly.
EPS 1Y (TTM)22.6%
EPS 3Y10.24%
EPS 5Y25.62%
EPS Q2Q%92.93%
Revenue 1Y (TTM)2.56%
Revenue growth 3Y14.94%
Revenue growth 5Y19.05%
Sales Q2Q%46.34%
3.2 Future
The Earnings Per Share is expected to grow by 18.80% on average over the next years. This is quite good.
Based on estimates for the next years, ASML will show a quite strong growth in Revenue. The Revenue will grow by 11.29% on average per year.
EPS Next Y24.43%
EPS Next 2Y21.11%
EPS Next 3Y20.74%
EPS Next 5Y18.8%
Revenue Next Year15.08%
Revenue Next 2Y12.23%
Revenue Next 3Y12.65%
Revenue Next 5Y11.29%
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
A Price/Earnings ratio of 30.19 indicates a quite expensive valuation of ASML.
The rest of the industry has a similar Price/Earnings ratio as ASML.
Compared to an average S&P500 Price/Earnings ratio of 27.21, ASML is valued at the same level.
Based on the Price/Forward Earnings ratio of 23.68, the valuation of ASML can be described as rather expensive.
ASML's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 21.70. ASML is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.19 | ||
| Fwd PE | 23.68 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ASML indicates a slightly more expensive valuation: ASML is more expensive than 64.71% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, ASML is valued a bit cheaper than the industry average as 74.51% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.97 | ||
| EV/EBITDA | 26.06 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of ASML may justify a higher PE ratio.
ASML's earnings are expected to grow with 20.74% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.24
PEG (5Y)1.18
EPS Next 2Y21.11%
EPS Next 3Y20.74%
5. Dividend
5.1 Amount
ASML has a yearly dividend return of 0.94%, which is pretty low.
Compared to an average industry Dividend Yield of 1.15, ASML pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.42, ASML's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.94% |
5.2 History
On average, the dividend of ASML grows each year by 14.61%, which is quite nice.
Dividend Growth(5Y)14.61%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
ASML pays out 32.40% of its income as dividend. This is a sustainable payout ratio.
The dividend of ASML is growing, but earnings are growing more, so the dividend growth is sustainable.
DP32.4%
EPS Next 2Y21.11%
EPS Next 3Y20.74%
AMS:ASML (7/1/2025, 7:00:00 PM)
668.2
-9.4 (-1.39%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners50.81%
Inst Owner ChangeN/A
Ins Owners0.02%
Ins Owner ChangeN/A
Market Cap263.16B
Analysts80.48
Price Target786.77 (17.74%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.94% |
Yearly Dividend6.24
Dividend Growth(5Y)14.61%
DP32.4%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.52%
Min EPS beat(2)-0.46%
Max EPS beat(2)7.51%
EPS beat(4)3
Avg EPS beat(4)6.1%
Min EPS beat(4)-0.46%
Max EPS beat(4)10.42%
EPS beat(8)7
Avg EPS beat(8)7.03%
EPS beat(12)11
Avg EPS beat(12)7.51%
EPS beat(16)14
Avg EPS beat(16)8.25%
Revenue beat(2)2
Avg Revenue beat(2)1.27%
Min Revenue beat(2)0.08%
Max Revenue beat(2)2.45%
Revenue beat(4)3
Avg Revenue beat(4)0.11%
Min Revenue beat(4)-3.8%
Max Revenue beat(4)2.45%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-0.71%
PT rev (3m)-9.41%
EPS NQ rev (1m)0%
EPS NQ rev (3m)14.05%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.87%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)4.2%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.19 | ||
| Fwd PE | 23.68 | ||
| P/S | 9.31 | ||
| P/FCF | 28.97 | ||
| P/OCF | 23.57 | ||
| P/B | 14.24 | ||
| P/tB | 19.84 | ||
| EV/EBITDA | 26.06 |
EPS(TTM)22.13
EY3.31%
EPS(NY)28.22
Fwd EY4.22%
FCF(TTM)23.06
FCFY3.45%
OCF(TTM)28.35
OCFY4.24%
SpS71.76
BVpS46.92
TBVpS33.69
PEG (NY)1.24
PEG (5Y)1.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.58% | ||
| ROE | 40.98% | ||
| ROCE | 31.62% | ||
| ROIC | 25.98% | ||
| ROICexc | 46.94% | ||
| ROICexgc | 70.04% | ||
| OM | 31.92% | ||
| PM (TTM) | 26.79% | ||
| GM | 51.28% | ||
| FCFM | 32.14% |
ROA(3y)16.96%
ROA(5y)16.56%
ROE(3y)49.24%
ROE(5y)44.73%
ROIC(3y)27.9%
ROIC(5y)25.53%
ROICexc(3y)43.46%
ROICexc(5y)39.92%
ROICexgc(3y)81.29%
ROICexgc(5y)81.27%
ROCE(3y)33.95%
ROCE(5y)31.07%
ROICexcg growth 3Y-15.63%
ROICexcg growth 5Y18.79%
ROICexc growth 3Y0.79%
ROICexc growth 5Y25.18%
OM growth 3Y-4.54%
OM growth 5Y6.79%
PM growth 3Y-6.68%
PM growth 5Y4.17%
GM growth 3Y0.44%
GM growth 5Y4.34%
F-Score7
Asset Turnover0.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 0.55 | ||
| Debt/EBITDA | 0.39 | ||
| Cap/Depr | 226.77% | ||
| Cap/Sales | 7.37% | ||
| Interest Coverage | 56.39 | ||
| Cash Conversion | 112.32% | ||
| Profit Quality | 119.96% | ||
| Current Ratio | 1.53 | ||
| Quick Ratio | 0.99 | ||
| Altman-Z | 7.19 |
F-Score7
WACC10.5%
ROIC/WACC2.47
Cap/Depr(3y)259.75%
Cap/Depr(5y)228.84%
Cap/Sales(3y)9.74%
Cap/Sales(5y)9.91%
Profit Quality(3y)91.57%
Profit Quality(5y)107.38%
High Growth Momentum
Growth
EPS 1Y (TTM)22.6%
EPS 3Y10.24%
EPS 5Y25.62%
EPS Q2Q%92.93%
EPS Next Y24.43%
EPS Next 2Y21.11%
EPS Next 3Y20.74%
EPS Next 5Y18.8%
Revenue 1Y (TTM)2.56%
Revenue growth 3Y14.94%
Revenue growth 5Y19.05%
Sales Q2Q%46.34%
Revenue Next Year15.08%
Revenue Next 2Y12.23%
Revenue Next 3Y12.65%
Revenue Next 5Y11.29%
EBIT growth 1Y-5.14%
EBIT growth 3Y9.72%
EBIT growth 5Y27.13%
EBIT Next Year33.08%
EBIT Next 3Y21.81%
EBIT Next 5Y18.34%
FCF growth 1Y167.57%
FCF growth 3Y-3.05%
FCF growth 5Y29.82%
OCF growth 1Y70.84%
OCF growth 3Y-1.24%
OCF growth 5Y25.03%