ASML Q4 Earnings Beat Expectations Despite EPS Miss
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: seekingalpha
- Earnings Highlights: ASML reported Q4 GAAP EPS of €7.35, missing estimates by €0.23, yet revenue of €9.72 billion, a 5% year-over-year increase, exceeded expectations by €140 million, demonstrating resilience in the semiconductor equipment market.
- Order Book: The company secured net bookings of €13.2 billion in Q4, with €7.4 billion from EUV, indicating sustained demand for advanced lithography technology, which is expected to drive future revenue growth.
- Future Outlook: ASML anticipates total net sales for 2026 to range between €34 billion and €39 billion, with gross margins projected between 51% and 53%, reflecting a positive outlook on future market demand.
- Shareholder Returns: The company announced a new share buyback program of up to €12 billion to be executed by December 31, 2028, and plans to increase the 2025 dividend by 17% to €7.50 per share, underscoring its commitment to shareholder value.
Analyst Views on ASML
Wall Street analysts forecast ASML stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for ASML is 1344 USD with a low forecast of 1140 USD and a high forecast of 1500 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
7 Analyst Rating
6 Buy
1 Hold
0 Sell
Strong Buy
Current: 1413.350
Low
1140
Averages
1344
High
1500
Current: 1413.350
Low
1140
Averages
1344
High
1500
About ASML
ASML Holding N.V. is a holding company based in the Netherlands. The Company operates through its subsidiaries in the Netherlands, the United States, Italy, France, Germany, the United Kingdom, Ireland, Belgium, South Korea, Taiwan, Singapore, China, Hong Kong, Japan, Malaysia and Israel. The Company operates through one business segment which is engage in development, production, marketing, sales, upgrading and servicing of advanced semiconductor equipment systems, consisting of lithography, metrology and inspection systems. The Company offers TWINSCAN systems, equipped with lithography system with a mercury lamp as light source (i-line), Krypton Fluoride (KrF) and Argon Fluoride (ArF) light sources for processing wafers for manufacturing environments for which imaging at a small resolution is required. TWINSCAN systems also include immersion lithography systems (TWINSCAN immersion systems).
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
