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10 AI Stocks I'd Buy Without Hesitation
10 AI Stocks I'd Buy Without Hesitation

Yahoo

time6 hours ago

  • Business
  • Yahoo

10 AI Stocks I'd Buy Without Hesitation

Artificial intelligence (AI) is creating the greatest investment opportunity of our generation. These 10 stocks dominate critical segments of the AI value chain. Each company has defensible market positions and accelerating revenue growth. 10 stocks we like better than Nvidia › Artificial intelligence (AI) has reached an inflection point where early leaders are separating from the pack, creating exceptional investment opportunities across the AI value chain. From semiconductor giants to software innovators, the winners in this space offer compelling multiyear growth stories as AI transforms from experimental technology to business necessity. Smart positioning in quality AI stocks today could deliver strong returns as this technology reshapes every industry over the next decade. The AI revolution is accelerating beyond even optimistic forecasts. Companies successfully harnessing AI are seeing dramatic improvements in productivity and customer outcomes, while those ignoring it risk obsolescence. The total addressable market reaches into the trillions, yet adoption remains early. This creates a rare window for investors to position themselves before the masses recognize AI's full potential. I've analyzed dozens of AI-related companies to identify those with sustainable competitive advantages and clear monetization paths. These 10 stocks offer diversified exposure across infrastructure, software, and applications. Each brings unique strengths to the AI ecosystem, and I'd confidently buy any at current level for long-term holdings. Nvidia (NASDAQ: NVDA) controls between 70% to 90% of the data center graphics processing unit (GPU) market, making its GPUs the industry standard for training large language models. The investment case rests on CUDA's decade-long ecosystem advantage, creating high switching costs. In Q1 of fiscal 2026, Nvidia reported record revenue of $44.1 billion, with data center revenue reaching $39.1 billion, a 73% increase year over year. Despite a $4.5 billion charge related to unsellable H20 GPUs due to U.S. export restrictions to China, Nvidia's dominance in AI infrastructure remains unchallenged. ASML Holding (NASDAQ: ASML) manufactures the only extreme ultraviolet lithography machines capable of producing cutting-edge semiconductors, giving it the lion's share of the market for this critical technology. The company's substantial backlog provides multiyear revenue visibility, while research and development spending of around 4.3 billion euros annually maintains its technological moat. As AI drives demand for more advanced chips, ASML benefits, regardless of which chipmaker wins, making it a defensive play on AI infrastructure growth. Microsoft (NASDAQ: MSFT) monetizes AI through proven channels, with Copilot subscriptions already generating billions in annualized revenue just months after launch. The company's advantage lies in distribution: 1.5 billion Office users worldwide and a dominant Azure cloud position enable rapid AI deployment at scale. Microsoft's track record of successfully monetizing new technologies through existing customer relationships reduces execution risk, while AI integration across all products drives pricing power. Lemonade (NYSE: LMND) uses AI throughout insurance operations to slash costs and improve customer experience, with 70% of claims processed instantly without human intervention. The company's loss ratios have improved dramatically as its algorithms learn from expanding data sets, while operational expenses remain a fraction of traditional insurers. As Lemonade scales into auto insurance and other verticals, its AI-first approach creates structural advantages that legacy carriers cannot replicate without rebuilding from scratch. SoundHound AI (NASDAQ: SOUN) provides voice AI technology to major automotive and restaurant brands, with revenue growing over 80% annually and gross margins expanding toward software-industry standards. The company's edge-computing approach processes voice on-device, addressing privacy concerns while reducing latency. Recent customer wins include multiple top 10 automakers and expanding restaurant chains, validating the technology as voice interfaces become standard across industries. Palantir Technologies (NASDAQ: PLTR) leverages two decades of classified government work to build AI platforms now driving over 70% annual commercial revenue growth. The company's Artificial Intelligence Platform (AIP) enables enterprises to deploy large language models on private data, addressing the security concerns limiting corporate AI adoption. With government contracts providing a stable base of revenue and commercial acceleration, Palantir offers both growth and stability in the emerging AI landscape. Applied Digital (NASDAQ: APLD) operates purpose-built data centers for high-performance computing, with facilities designed specifically for AI workload requirements, including advanced cooling and power density. The company has secured long-term contracts with Tier-1 customers for its entire 400MW capacity, providing predictable revenue growth. As AI compute demand outstrips supply, Applied Digital's specialized facilities command premium pricing, while its 2GW-plus development pipeline positions it for sustained growth. Oklo (NYSE: OKLO) develops small modular reactors addressing AI data centers' massive energy requirements, with each reactor designed to provide 15MW to 50MW of clean baseload power. Recent regulatory streamlining and partnerships with data center operators validate the business model as tech companies seek carbon-free energy sources. The company's recycled fuel approach and compact design offer economic advantages over traditional nuclear energy, positioning it to benefit from AI's growing energy demands. CoreWeave (NASDAQ: CRWV) specializes in GPU-accelerated cloud computing, offering AI-optimized infrastructure that major AI companies use for training and inference. The company is projected to generate $5 billion in revenue for 2025, with analysts expecting revenue to more than double to $11.6 billion in 2026 -- a 130% growth rate that validates its AI-first strategy. With established relationships serving leading AI labs and better GPU availability than most hyperscalers, CoreWeave has carved out a defensible niche in the fast-growing AI infrastructure market. (NYSE: BBAI) applies AI to defense and commercial analytics, with expertise in computer vision and predictive modeling for mission-critical applications. The company reported Q1 2025 revenue of $34.8 million with 5% year-over-year growth and maintains a $385 million backlog, providing long-term revenue visibility. Recent contract wins in supply chain optimization and defense analytics demonstrate the value of specialized AI applications in regulated industries where accuracy and explainability matter most. These 10 stocks represent different layers of the AI ecosystem, from essential infrastructure to specialized applications. While AI investments are inherently volatile, each company demonstrates strong fundamentals, defensible market positions, and clear paths to sustainable growth. The convergence of technological capability, enterprise adoption, and massive addressable markets creates a compelling long-term opportunity for patient investors. Before you buy stock in Nvidia, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Nvidia wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $656,825!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $865,550!* Now, it's worth noting Stock Advisor's total average return is 994% — a market-crushing outperformance compared to 172% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 2, 2025 George Budwell has positions in Lemonade, Microsoft, Nvidia, and Palantir Technologies. The Motley Fool has positions in and recommends ASML, Lemonade, Microsoft, Nvidia, and Palantir Technologies. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy. 10 AI Stocks I'd Buy Without Hesitation was originally published by The Motley Fool

Why ASML is the Most Important Stock You've Never Owned
Why ASML is the Most Important Stock You've Never Owned

Business Insider

time11 hours ago

  • Business
  • Business Insider

Why ASML is the Most Important Stock You've Never Owned

In the vast tech ecosystem, one under-the-radar titan powers the future of nearly every major chipmaker: ASML Holding (ASML). Far more than just a semiconductor equipment supplier, ASML is a technological gatekeeper, a geopolitical linchpin, and arguably one of the most overlooked long-term growth stories in public markets. Confident Investing Starts Here: Despite ongoing concerns around industry cyclicality and China-related headwinds, ASML continues to solidify its dominance in a space where it faces virtually no actual competition. As 2026 draws nearer, investors may want to tune out the noise and focus on what's unfolding beneath the surface—a company poised to enter a fresh multi-year growth phase, fueled by its unmatched 'NA EUV' technology and a rising tide of national semiconductor reshoring efforts. I remain bullish on ASML, as the company is still in the early stages of commercializing its core offering. The Monopoly Beneath the Silicon Curtain Let's begin with what might be the most open secret in tech: ASML has no true rivals when it comes to extreme ultraviolet (EUV) lithography. None. It is the sole manufacturer of these incredibly complex machines, which are essential for producing chips at the most advanced process nodes. Whether it's the cutting-edge processors powering AI data centers or flagship smartphones, chances are they were built using ASML's EUV technology. These machines don't come cheap. A single EUV scanner can cost upwards of $200 million, contains over 100,000 precision-engineered parts, and takes more than a year to assemble. Yet, chipmaking giants like TSMC (TSM), Intel (INTC), and Samsung (SSNLF) have no alternatives—they simply queue up and wait. That exclusivity has allowed ASML to build a massive moat, not through pricing power alone, but through an unmatched technological lead. Even deep-pocketed rivals like Nikon ($NINOY, $NINOF) and Canon (CAJPY) have exited the EUV race entirely. ASML doesn't just lead the market—it is the market. Concerns about export restrictions, particularly involving China, have surfaced in recent quarters. While it's true that China accounted for 29% of ASML's 2023 revenue, no EUV machines have ever been shipped there. The tighter Dutch export controls—largely encouraged by U.S. pressure—mainly apply to high-end DUV tools. Though valuable, these sales were never the cornerstone of ASML's long-term strategy. Instead, ASML is increasingly aligned with Western and Taiwanese industrial priorities, shifting its geopolitical exposure toward greater long-term stability. What was once viewed as a liability has now become a strategic recalibration—one that positions ASML to thrive at the intersection of technology leadership and national security imperatives. What remains undercounted and underestimated with ASML is how much their business behaves like a high-end service platform. With over 1,500 tools installed globally, ASML's installed base garners a steady stream of recurring revenues from a combination of long-term service contracts, field upgrades, and performance enhancements. In 2024, approximately 23% of total revenue was generated from these activities, and I anticipate that number to rise. This implies that ASML is no more a cyclical, lumpy machinery business, but rather a capital equipment company with platform-like economics. This means big upfront average selling prices with decades of sticky, high-margin service revenue to follow. That flywheel will only be stronger with High-NA systems in the field. Once ASML's tools are deployed in a manufacturing facility, they become mission-critical and highly profitable to service and maintain. The Market Is Miscalculating ASML The market appears to be pricing ASML as a cyclical capital expenditures name rather than a structural enabler of Moore's Law. Despite a monopoly-like economic structure, ASML currently trades at approximately 30x forward earnings, with a PEG of just under 1.5 and a free cash flow yield of around 3%. Therefore, the stock price is reasonable—and I'd say cheap—for a company with this kind of visibility, pricing power, and strategic relevance. The only thing investors need to make this investment work out is patience, perseverance, and a tolerance to withstand geopolitical risks. I understand that the markets are fraught with tension due to the China-U.S. relationship surrounding semiconductors, but I'm bullish on reconciliation soon and a peaceful path to coexistence. As such, I'm staying invested despite the current market trepidation. Is ASML a Buy, Sell, or Hold? According to analysts, ASML has a consensus Strong Buy rating based on three Buys, zero Holds, and zero Sells. The average ASML stock price target is $905, implying a ~21% upside over the next 12 months. I'm more bullish and could easily see the stock trading at $1,100 as macro strength creates investor confidence. Easing tensions between China and the U.S. would signal to markets that it is safe to begin allocating capital fearlessly again in both the East and the West. ASML: The Silent Powerhouse Driving the Future of Chipmaking ASML is a stealthy compounder with an unbreakable technology moat. While others sell grand visions, ASML builds the reality behind them. It's indispensable in the chipmaking ecosystem, boasting resilient economics and technology that's far ahead of the pack. By 2026, investors are poised to see substantial returns as high-NA EUV moves from pilot to full production, sovereign chip foundries ramp up in the U.S. and Europe, and service revenues continue to scale rapidly. ASML offers a powerful blend of secular growth and strategic tailwinds—yet the market still prices it at a discount, for now. If you haven't been paying attention, now is the time. This is the company that makes the entire chip world possible. Quiet, relentless, and precise, ASML leads the way behind the scenes.

Taiwan Semiconductor Rises 13% in Three Months: How to Play the Stock?
Taiwan Semiconductor Rises 13% in Three Months: How to Play the Stock?

Globe and Mail

time2 days ago

  • Business
  • Globe and Mail

Taiwan Semiconductor Rises 13% in Three Months: How to Play the Stock?

Taiwan Semiconductor Manufacturing Company TSM has delivered a solid 12.6% gain over the past three months. This performance easily beats the broader Zacks Computer and Technology sector, which rose 4.4% in the same period. Taiwan Semiconductor stock has also moved ahead of several chip peers, including ASML Holding ASML, Lam Research Corporation LRCX and Marvell Technology, Inc. MRVL. While shares of Marvell Technology have plunged 28.4% over the past three months, ASML Holding and Lam Research have risen 6.6% and 8.8%, respectively. This outperformance shows investors are increasingly confident in Taiwan Semiconductor's long-term story, even during a volatile market shaped by trade conflicts and geopolitical risks. We believe this momentum is grounded in strong fundamentals, and TSM's long-term outlook justifies a hold position for now. TSM 3-Month Price Return Performance AI Boom Fuels Multi-Year Tailwinds for TSM Taiwan Semiconductor continues to lead the global chip foundry market, and it's benefiting heavily from the artificial intelligence (AI) revolution. Its manufacturing dominance and scale have made it the go-to partner for advanced chipmaking. Whether it's NVIDIA, Marvell Technology or Broadcom, many top chip designers rely on TSM for producing custom AI accelerators and graphics processing units (GPUs). In 2024, AI-related revenues tripled, making up a mid-teen percentage of Taiwan Semiconductor's total revenues, and the momentum is far from over. The company expects AI-related sales to double again in 2025, with an impressive 40% compound annual growth rate over the next five years. This positions TSM as the undisputed backbone of AI-driven technological advancements. The company kicked off 2025 with excellent first-quarter results. Revenues surged 35% year over year to $25.53 billion, and net income rose 53% to nearly $11 billion in the first quarter. This growth was powered by the booming demand for its advanced 3nm and 5nm nodes, which now account for 58% of total wafer sales. Taiwan Semiconductor's first-quarter EPS also jumped 53.6% to $2.12 and surpassed the Zacks Consensus Estimate of $2.03. The stock beat the consensus mark for earnings in each of the trailing four quarters, the average surprise being 6.9%. Taiwan Semiconductor plans to ramp up capital spending to between $38 and $42 billion in 2025 to further capitalize on the AI-driven growing demand for advanced chips. This is a sharp increase from the $29.8 billion spent in 2024, with around 70% earmarked for advanced manufacturing capabilities. Undervaluation Supports a Hold Strategy for TSM Despite its strong growth, Taiwan Semiconductor stock still looks reasonably priced. It trades at a forward 12-month price-to-earnings (P/E) multiple of 19.96X, which is lower than the sector average of 25.52. This discount adds to the appeal for long-term investors. Taiwan Semiconductor also trades at a lower P/E ratio than other semiconductor players, including ASML Holding, Lam Research and Marvell Technology. At present, ASML Holding, Lam Research and Marvell Technology trade at P/E multiples of 26.09X, 20.8X and 20.04X, respectively. Given its superior scale and exposure to AI growth, TSM's relative valuation strengthens the case for continuing to hold the stock. Short-Term Headwinds Are Still in Play for TSM Stock Despite its strengths, Taiwan Semiconductor faces near-term headwinds. Higher energy prices in Taiwan, following a 25% electricity hike in 2024, pose a considerable challenge, especially as advanced nodes demand greater power. Softness in key markets like PCs and smartphones also dampens near-term prospects. These traditionally strong revenue drivers are projected to see only low single-digit growth in 2025, limiting Taiwan Semiconductor's growth despite rising AI demand. The company's global expansion strategy adds further strain. New fabs in the United States (Arizona), Japan and Germany are vital for geopolitical risk mitigation, but they come with higher costs. These facilities are expected to drag down gross margins by 2-3 percentage points annually over the next three to five years due to higher labor and energy costs, along with lower utilization rates in the early stages. Escalating geopolitical tensions, particularly U.S.-China relations, pose strategic risks. With significant revenue exposure to China, Taiwan Semiconductor is vulnerable to export restrictions, supply-chain disruptions or further regulatory pressure. These uncertainties could weigh on near-term performance. Conclusion: Hold TSM Stock for Now Taiwan Semiconductor remains a cornerstone of the semiconductor industry. Its unmatched capabilities in advanced chip manufacturing, strong exposure to AI demand and expanding capacity give it a solid long-term trajectory. However, short-term headwinds, from rising costs and global expansion pressures to geopolitical friction, call for a more cautious stance. Given its valuation and growth backdrop, holding the stock makes the most sense right now. Taiwan Semiconductor currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Zacks' Research Chief Names "Stock Most Likely to Double" Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest. This top pick is among the most innovative financial firms. With a fast-growing customer base (already 50+ million) and a diverse set of cutting edge solutions, this stock is poised for big gains. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months. Free: See Our Top Stock And 4 Runners Up Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report ASML Holding N.V. (ASML): Free Stock Analysis Report Lam Research Corporation (LRCX): Free Stock Analysis Report Marvell Technology, Inc. (MRVL): Free Stock Analysis Report Taiwan Semiconductor Manufacturing Company Ltd. (TSM): Free Stock Analysis Report This article originally published on Zacks Investment Research (

ASML Holding Stock Soars 17% in a Month: Should You Bet on It Now?
ASML Holding Stock Soars 17% in a Month: Should You Bet on It Now?

Yahoo

time21-05-2025

  • Business
  • Yahoo

ASML Holding Stock Soars 17% in a Month: Should You Bet on It Now?

ASML Holding N.V. ASML has seen its share price soar more than 17% over the past month. This surge has significantly outperformed the S&P 500 index, which gained 12.1% during the same period. Image Source: Zacks Investment Research This outperformance raises the question: Should investors accumulate ASML shares or book profits and exit the investment? ASML Holding's recent rally stemmed from broader market optimism. Progress in U.S.-China trade negotiations has been boosting market sentiment since late April. Protracted trade tensions had previously dampened global economic forecasts and corporate earnings expectations due to tariffs and retaliatory measures. Last week, the United States and China reached a deal to slash tariffs temporarily. The United States has agreed to lower its overall tariffs on Chinese imports to 30% from 145%. On the other hand, China will reduce duties on U.S. imports to 10% from 125%. The new adjustments will be effective for 90 days. The recent trade deal suggests easing tensions between the two largest economies and smoother international trade flows. This improved outlook fostered investor confidence, leading to a rally in the equity market as fears of further economic disruption subsided and prospects for global growth seemed brighter. Apart from ASML Holding, this broader market optimism also boosted share prices of other semiconductor players, including Lam Research LRCX, KLA Corporation KLAC and Applied Materials AMAT. Over the past month, shares of Lam Research, KLA Corporation and Applied Materials have soared 32.5%, 24% and 19.6%, respectively. ASML Holding's long-term growth potential and invigorated investor optimism make the stock worth buying. ASML's dominance in the semiconductor manufacturing sector is unchallenged. The company maintains a near-monopoly on extreme ultraviolet (EUV) lithography, which is essential for producing advanced chips at 3nm and below. Its EUV systems are crucial for leading chipmakers such as TSMC, Samsung and Intel, positioning ASML as a key enabler of cutting-edge semiconductor manufacturing. ASML Holding's High-NA EUV technology represents the next frontier in chip manufacturing. Designed for sub-2nm nodes, these advanced systems will be critical for the industry's future. While the adoption of High-NA EUV has been slower than expected, the long-term potential remains enormous. As chipmakers ramp up production of smaller, more powerful chips, ASML's High-NA EUV tools will play a pivotal role, driving sustained demand. The company's technological superiority ensures high barriers to entry, giving it a competitive moat. With EUV technology being essential for advanced semiconductor fabrication, ASML Holding's dominance remains intact, supporting its long-term growth outlook. ASML Holding is well-positioned to capitalize on the artificial intelligence (AI) revolution, which is driving massive demand for advanced semiconductors. With AI workloads requiring cutting-edge GPUs, high-bandwidth memory and AI accelerators, the demand for smaller and more powerful chips is rising. This trend plays directly into ASML's hands, as its EUV and High-NA EUV machines are vital for manufacturing these advanced chips. As cloud providers, data centers and tech giants expand their AI infrastructure, ASML Holding's lithography tools will be in greater demand. This AI-driven semiconductor expansion ensures long-term growth tailwinds for ASML, making it a compelling buy. ASML Holding's first-quarter 2025 financial results demonstrated its resilience amid the ongoing macroeconomic uncertainties. The company posted €7.74 billion in net sales, marking a 46% year-over-year increase. Net income surged 92% to €2.36 billion, while earnings per share (EPS) grew 93% to €6.00, highlighting ASML's operational efficiency. ASML Holding N.V. price-consensus-eps-surprise-chart | ASML Holding N.V. Quote The gross margin expanded 300 basis points year over year to 54%, driven by strong cost management and improved productivity in its advanced lithography systems. This margin expansion reflects ASML's ability to maintain profitability even in a challenging macro environment. ASML Holding's 2025 guidance also signals confidence in its future growth. The company expects 15% revenue growth for the year, driven by the rising demand for both EUV and DUV (deep ultraviolet) lithography systems. Additionally, ASML forecasts a 70-basis-point margin expansion in 2025, indicating higher profitability ahead. ASML stock currently trades at a premium to the Zacks Computer and Technology sector. Its forward 12-month price-to-earnings (P/E) ratio of 26.2 exceeds the sector's average of 25.5. However, the company's near-monopoly in EUV lithography and strong growth prospects justify this premium valuation. Image Source: Zacks Investment Research ASML Holding also trades at higher P/E multiples compared with other semiconductor players, including KLA Corporation, Lam Research and Applied Materials. Currently, KLA Corporation, Lam Research and Applied Materials trade at P/E multiples of 24.1X, 21.25X and 17.09X, respectively. ASML Holding's technological leadership and robust financials offer strong long-term growth potential. The company's dominance in EUV and High-NA EUV technology makes it well-positioned for future growth. With rising demand for advanced nodes, AI chips and high-bandwidth memory, ASML's lithography tools will remain mission-critical, making the stock worth buying. ASML carries a Zacks Rank #2 (Buy) at present. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report KLA Corporation (KLAC) : Free Stock Analysis Report ASML Holding N.V. (ASML) : Free Stock Analysis Report Lam Research Corporation (LRCX) : Free Stock Analysis Report Applied Materials, Inc. (AMAT) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research

Does ASML Holding (AMS:ASML) Deserve A Spot On Your Watchlist?
Does ASML Holding (AMS:ASML) Deserve A Spot On Your Watchlist?

Yahoo

time08-05-2025

  • Business
  • Yahoo

Does ASML Holding (AMS:ASML) Deserve A Spot On Your Watchlist?

For beginners, it can seem like a good idea (and an exciting prospect) to buy a company that tells a good story to investors, even if it currently lacks a track record of revenue and profit. But the reality is that when a company loses money each year, for long enough, its investors will usually take their share of those losses. Loss-making companies are always racing against time to reach financial sustainability, so investors in these companies may be taking on more risk than they should. So if this idea of high risk and high reward doesn't suit, you might be more interested in profitable, growing companies, like ASML Holding (AMS:ASML). Even if this company is fairly valued by the market, investors would agree that generating consistent profits will continue to provide ASML Holding with the means to add long-term value to shareholders. We check all companies for important risks. See what we found for ASML Holding in our free report. If you believe that markets are even vaguely efficient, then over the long term you'd expect a company's share price to follow its earnings per share (EPS) outcomes. So it makes sense that experienced investors pay close attention to company EPS when undertaking investment research. It certainly is nice to see that ASML Holding has managed to grow EPS by 19% per year over three years. If growth like this continues on into the future, then shareholders will have plenty to smile about. Careful consideration of revenue growth and earnings before interest and taxation (EBIT) margins can help inform a view on the sustainability of the recent profit growth. The good news is that ASML Holding is growing revenues, and EBIT margins improved by 2.2 percentage points to 34%, over the last year. Both of which are great metrics to check off for potential growth. In the chart below, you can see how the company has grown earnings and revenue, over time. To see the actual numbers, click on the chart. See our latest analysis for ASML Holding You don't drive with your eyes on the rear-view mirror, so you might be more interested in this free report showing analyst forecasts for ASML Holding's future profits. Owing to the size of ASML Holding, we wouldn't expect insiders to hold a significant proportion of the company. But we do take comfort from the fact that they are investors in the company. With a whopping €54m worth of shares as a group, insiders have plenty riding on the company's success. This should keep them focused on creating long term value for shareholders. If you believe that share price follows earnings per share you should definitely be delving further into ASML Holding's strong EPS growth. Further, the high level of insider ownership is impressive and suggests that the management appreciates the EPS growth and has faith in ASML Holding's continuing strength. On the balance of its merits, solid EPS growth and company insiders who are aligned with the shareholders would indicate a business that is worthy of further research. Of course, identifying quality businesses is only half the battle; investors need to know whether the stock is undervalued. So you might want to consider this free discounted cashflow valuation of ASML Holding. While opting for stocks without growing earnings and absent insider buying can yield results, for investors valuing these key metrics, here is a carefully selected list of companies in NL with promising growth potential and insider confidence. Please note the insider transactions discussed in this article refer to reportable transactions in the relevant jurisdiction. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio

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