ASML HOLDING NV-NY REG SHS (ASML) Stock Fundamental Analysis
NASDAQ:ASML - Nasdaq - USN070592100 - Currency: USD
Taking everything into account, ASML scores 7 out of 10 in our fundamental rating. ASML was compared to 110 industry peers in the Semiconductors & Semiconductor Equipment industry. Both the health and profitability get an excellent rating, making ASML a very profitable company, without any liquidiy or solvency issues. ASML is not overvalued while it is showing excellent growth. This is an interesting combination. This makes ASML very considerable for growth and quality investing!
1. Profitability
1.1 Basic Checks
In the past year ASML was profitable.
ASML had a positive operating cash flow in the past year.
ASML had positive earnings in each of the past 5 years.
In the past 5 years ASML always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of ASML (15.58%) is better than 90.00% of its industry peers.
ASML's Return On Equity of 40.98% is amongst the best of the industry. ASML outperforms 94.55% of its industry peers.
With an excellent Return On Invested Capital value of 25.98%, ASML belongs to the best of the industry, outperforming 96.36% of the companies in the same industry.
ASML had an Average Return On Invested Capital over the past 3 years of 27.90%. This is significantly above the industry average of 10.58%.
| 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 87.27% of the companies in the same industry.
ASML's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 31.92%, ASML belongs to the best of the industry, outperforming 91.82% of the companies in the same industry.
ASML's Operating Margin has improved in the last couple of years.
The Gross Margin of ASML (51.28%) is better than 66.36% of its industry peers.
In the last couple of years the Gross Margin of ASML has grown nicely.
| 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.
ASML has about the same amout of shares outstanding than it did 1 year ago.
ASML has less shares outstanding than it did 5 years ago.
The debt/assets ratio for ASML has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 7.26 indicates that ASML is not in any danger for bankruptcy at the moment.
ASML has a better Altman-Z score (7.26) than 70.00% of its industry peers.
The Debt to FCF ratio of ASML is 0.55, which is an excellent value as it means it would take ASML, only 0.55 years of fcf income to pay off all of its debts.
ASML has a Debt to FCF ratio of 0.55. This is in the better half of the industry: ASML outperforms 79.09% of its industry peers.
A Debt/Equity ratio of 0.21 indicates that ASML is not too dependend on debt financing.
The Debt to Equity ratio of ASML (0.21) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 0.55 | ||
| Altman-Z | 7.26 |
ROIC/WACC2.43
WACC10.71%
2.3 Liquidity
ASML has a Current Ratio of 1.53. This is a normal value and indicates that ASML is financially healthy and should not expect problems in meeting its short term obligations.
ASML has a worse Current ratio (1.53) than 83.64% 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 87.27% 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
ASML shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 22.60%, which is quite impressive.
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.
Measured over the past years, ASML shows a quite strong growth in Revenue. The Revenue has been growing by 19.05% on average per year.
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
Based on estimates for the next years, ASML will show a quite strong growth in Earnings Per Share. The EPS will grow by 18.80% on average per year.
The Revenue is expected to grow by 11.29% on average over the next years. This is quite good.
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
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of 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
The Price/Earnings ratio is 31.30, which means the current valuation is very expensive for ASML.
Based on the Price/Earnings ratio, ASML is valued a bit cheaper than the industry average as 64.55% of the companies are valued more expensively.
ASML's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.41.
With a Price/Forward Earnings ratio of 24.54, ASML is valued on the expensive side.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ASML indicates a somewhat cheap valuation: ASML is cheaper than 63.64% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of ASML to the average of the S&P500 Index (35.19), we can say ASML is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.3 | ||
| Fwd PE | 24.54 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ASML is valued a bit cheaper than the industry average as 63.64% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, ASML is valued a bit cheaper than the industry average as 74.55% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.03 | ||
| EV/EBITDA | 26.41 |
4.3 Compensation for Growth
ASML's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
ASML has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as ASML's earnings are expected to grow with 20.74% in the coming years.
PEG (NY)1.28
PEG (5Y)1.22
EPS Next 2Y21.11%
EPS Next 3Y20.74%
5. Dividend
5.1 Amount
With a yearly dividend of 0.93%, ASML is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.17, ASML pays a better dividend. On top of this ASML pays more dividend than 80.91% of the companies listed in the same industry.
With a Dividend Yield of 0.93, ASML pays less dividend than the S&P500 average, which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.93% |
5.2 History
On average, the dividend of ASML grows each year by 14.61%, which is quite nice.
ASML has paid a dividend for at least 10 years, which is a reliable track record.
ASML has decreased its dividend recently.
Dividend Growth(5Y)14.61%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
32.40% of the earnings are spent on dividend by ASML. This is a low number and sustainable payout ratio.
ASML's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP32.4%
EPS Next 2Y21.11%
EPS Next 3Y20.74%
NASDAQ:ASML (7/14/2025, 2:43:32 PM)
809.08
+7.15 (+0.89%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners50.81%
Inst Owner Change0%
Ins Owners0.02%
Ins Owner ChangeN/A
Market Cap318.64B
Analysts78.1
Price Target901.11 (11.37%)
Short Float %0.75%
Short Ratio2.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.93% |
Yearly Dividend7.29
Dividend Growth(5Y)14.61%
DP32.4%
Div Incr Years1
Div Non Decr Years1
Ex-Date
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)0.6%
PT rev (3m)-5.33%
EPS NQ rev (1m)0%
EPS NQ rev (3m)10.58%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.87%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.53%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.3 | ||
| Fwd PE | 24.54 | ||
| P/S | 9.65 | ||
| P/FCF | 30.03 | ||
| P/OCF | 24.43 | ||
| P/B | 14.76 | ||
| P/tB | 20.56 | ||
| EV/EBITDA | 26.41 |
EPS(TTM)25.85
EY3.19%
EPS(NY)32.97
Fwd EY4.07%
FCF(TTM)26.95
FCFY3.33%
OCF(TTM)33.12
OCFY4.09%
SpS83.84
BVpS54.81
TBVpS39.36
PEG (NY)1.28
PEG (5Y)1.22
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 | 7.26 |
F-Score7
WACC10.71%
ROIC/WACC2.43
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%