ASML Holding N.V. New York Registry Shares (ASML) fair value

ACCE thesis

ASML makes the EUV and DUV lithography machines that etch circuit patterns onto silicon, and its EUV tools are the only ones that can print the most advanced chips, so every leading-edge foundry depends on it. That monopoly position in a capital-intensive niche shows up in the numbers: a 52.7% gross margin, a 37.1% operating margin and a 53.9% return on equity. Revenue is growing 21.3% a year, and the stock trades at 28.9 times forward earnings, against 40.8 times trailing, which tells you the market expects earnings to keep rising. The case for a closer look rests on whether memory and logic capacity spending keeps accelerating through the next AI build-out, and whether the forward multiple stays reasonable if that spending cycle turns. At a $637 billion market cap with a 73/100 score, it sits in both the Smart Money and Semiconductors indices, so the question is worth working through in detail.