ASML Growth Outlook Trimmed by Bernstein Over EUV Concerns
While acknowledging ASML's 'undisputed' superiority in EUV lithography, the company voiced concerns about the declining returns on top-of-the-line logic capital expenditures incurred by EUV lithography. In that regard, Bernstein anticipates a decline in the intensity of EUV capital expenditure.
Instead of lithography, the firm predicts that new transistor architectures and advanced packaging would propel further transistor miniaturization. The firm's estimate of EUV revenue for 2030 falls 24% below ASML Holding N.V. (NASDAQ:ASML)'s own guidance.
According to Bernstein, ASML's growth will be in line with that of Wafer Fabrication Equipment (WFE) at a compound annual growth rate of 7% from 2024 and 2030. The firm's revenue prediction for 2030 is 18% below the consensus and at the low end of the company's guidance range.
A key player in the semiconductor sector, ASML Holding N.V. (NASDAQ:ASML) specializes in lithographic systems, which employ light to etch intricate designs on silicon wafers, a crucial stage in the production of chips.
While we acknowledge the potential of 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.
Read More: and
Disclosure: None.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
9 minutes ago
- Yahoo
Paul Krugman on what some Republicans get wrong about the Fed
President Trump has made no secret of his desire for the Federal Reserve to cut interest rates. But as Paul Krugman, a Nobel Laureate in Economics and author of the substack "Paul Krugman," explains, some in the Republican party may have lost sight of what the Fed actually does. To watch more expert insights and analysis on the latest market action, check out more Market Catalysts. Related videos Europe's most expensive city revealed, as living costs near £3,500 per month Britain's gas imports surge as Miliband abandons North Sea How much do you need in an ISA to target a £5,000 monthly passive income? How will the Lloyds share price be affected by today's Supreme Court ruling? Sign in to access your portfolio
Yahoo
9 minutes ago
- Yahoo
Raymond James Starts Ares Management (ARES) Coverage, Highlights Strong Fee-Based Model
Ares Management Corporation (NYSE:ARES) ranks among the . On July 28, Raymond James began coverage of Ares Management Corporation (NYSE:ARES) with a Market Perform rating. While the firm highlighted Ares' robust direct lending position and growth prospects as advantages, it also pointed out that there were no immediate catalysts for the stock. According to Raymond James, Ares Management Corporation (NYSE:ARES) is reasonably valued at its current price-to-earnings multiple of 32x next-twelve months, which is higher than the 20x anticipated P/E average for the alternative asset management industry in 2026. The firm claims that Ares' purely fee-based business model, which has little balance sheet exposure and a better growth trajectory than its peers, justifies the premium valuation. Raymond James emphasized Ares' guidance for fee-related earnings through 2028, which are expected to improve at a compound annual growth rate of 16–20%. As the company deploys about $81.5 billion in committed assets that do not currently generate fees, additional margin gains are projected. Ares Management Corporation (NYSE:ARES) is an alternative asset management with operations in Asia, Europe, and the United States. The company is divided into different divisions, including the Real Estate Group, the Private Equity Group, the Direct Lending Group, and the Tradable Credit Group. While we acknowledge the potential of ARES 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. Read More: and Disclosure: None.
Yahoo
9 minutes ago
- Yahoo
Stifel Boosts Amazon (AMZN) Price Target, Sees Q2 Earnings Beat Potential
Inc. (NASDAQ:AMZN) ranks among the . On July 29, Mark Kelley, an analyst at Stifel, raised the price target for Inc. (NASDAQ:AMZN) from $245 to $262 while keeping the company's shares at a Buy rating. As the company gets closer to announcing its second-quarter earnings, Kelley points out that third-party data suggests Inc. (NASDAQ:AMZN) may surpass forecasts. Zapp2Photo/ This optimism stems in part from the strategic agreements made by the current U.S. administration and the postponement of tariff measures, both of which have benefited the company. Stifel admitted that its models had been 'too conservative' after what it called 'liberation day,' and as a result, it raised some of its projections for Inc. (NASDAQ:AMZN). The firm stated that it prefers Inc. (NASDAQ:AMZN) in the e-commerce industry and that it believes the company's long-term financial projections would 'continue to work higher from here.' Inc. (NASDAQ:AMZN) is a major technology company that runs the world's largest e-commerce and cloud computing businesses. The company also offers digital streaming and AI technology. While we acknowledge the potential of AMZN 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. Read More: and Disclosure: None.
