ASML (ASML) closed the most recent trading day at $794.10, moving +1.15% from the previous trading session. This change outpaced the S&P 500's 0.07% loss on the day. Elsewhere, the Dow lost 0.37%, while the tech-heavy Nasdaq added 0.03%.
Heading into today, shares of the equipment supplier to semiconductor makers had gained 1.93% over the past month, lagging the Computer and Technology sector's gain of 5.58% and the S&P 500's gain of 3.94%.
Analysts and investors alike will be keeping a close eye on the performance of ASML in its upcoming earnings disclosure. The company's earnings report is set to go public on July 16, 2025. The company's earnings per share (EPS) are projected to be $5.94, reflecting a 37.5% increase from the same quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $8.55 billion, showing a 27.19% escalation compared to the year-ago quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $27.48 per share and a revenue of $37.33 billion, indicating changes of +31.99% and +22.17%, respectively, from the former year.
Investors should also pay attention to any latest changes in analyst estimates for ASML. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been a 1.17% rise in the Zacks Consensus EPS estimate. ASML is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note ASML's current valuation metrics, including its Forward P/E ratio of 28.58. Its industry sports an average Forward P/E of 27.54, so one might conclude that ASML is trading at a premium comparatively.
We can additionally observe that ASML currently boasts a PEG ratio of 1.64. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Semiconductor Equipment - Wafer Fabrication industry had an average PEG ratio of 1.32 as trading concluded yesterday.
The Semiconductor Equipment - Wafer Fabrication industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 11, placing it within the top 5% of over 250 industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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ASML Holding N.V. (ASML): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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