Bristlemoon Global Fund's Thesis on ASML (ASML) is Paying Off

Bristlemoon Capital, a global equities firm, released its “Bristlemoon Global Fund” fourth-quarter 2025 investor letter. A copy of the letter can be downloaded here. The fund returned -6.2% in the December quarter and a 0.3% return in December. Since its inception, the fund has produced a cumulative return of 11.9%, net of fees.  In 2025, market trends intensified, with perceived AI winners rallying, while stocks considered "cheap" dropped even further if labeled as AI losers. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its fourth-quarter 2025 investor letter, Bristlemoon Global Fund highlighted stocks such as ASML Holding N.V. (NASDAQ:ASML). Headquartered in Veldhoven, the Netherlands, ASML Holding N.V. (NASDAQ:ASML) offers lithography solutions for the development and production of advanced semiconductor equipment systems. The one-month return for ASML Holding N.V. (NASDAQ:ASML) was 17.10%, and its shares gained 75.13% over the last 52 weeks. On January 9, 2026, ASML Holding N.V. (NASDAQ:ASML) stock closed at $1,273.88 per share, with a market capitalization of $494.454 billion.

Bristlemoon Global Fund stated the following regarding ASML Holding N.V. (NASDAQ:ASML) in its fourth quarter 2025 investor letter:

"In our September 2025 quarterly letter we explained why we had taken positions in Alphabet and ASML Holding N.V. (NASDAQ:ASML). We highlighted how ASML is a monopoly in the semiconductor industry during an AI boom. Our writeup outlined the bear case arguments and explained our reasoning for why they were misguided. Other investors began to agree with our investment thesis, sending the stock from around €600 per share to north of €900 per share in the span of a quarter. Alphabet, where investor sentiment around AI had become unduly pessimistic, has also since delivered solid performance and contributed meaningfully to the Fund’s returns."

ASML Holding N.V. (NASDAQ:ASML) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 82 hedge fund portfolios held ASML Holding N.V. (NASDAQ:ASML) at the end of the third quarter, which was 78 in the previous quarter. While we acknowledge the potential of ASML Holding N.V. (NASDAQ:ASML) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

In another article, we covered ASML Holding N.V. (NASDAQ:ASML) and shared the list of AI stocks on the market’s radar. Bristlemoon Global Fund added ASML Holding N.V. (NASDAQ:ASML) to its portfolio last quarter due to its resilient and enduring business model. In addition, please check out our hedge fund investor letters Q4 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.