The word "monopoly" has a negative reputation in the investment and economic communities, as it is often linked to abusive pricing and unfair advantages that many other businesses and investors might not face. However, monopolies (or near-monopolies for that matter) can also mean outsized returns for investors who can spot them.
ASML Holding N.V.'s core moat—its monopoly on advanced lithography tools—remains unchallenged despite trade uncertainty and cyclical headwinds. Secular demand drivers like AI, automation, and data infrastructure support robust long-term growth for high-end chips and, by extension, ASML. Valuation is attractive, with healthy margins and limited competitive threats; current weakness reflects priced-in short-term risks, not fundamentals.
ASML's recent stock decline is overdone; market overestimates 2026–2027 revenue risk, creating a compelling buying opportunity. My analysis projects a worst-case 12.9% revenue decline, far less severe than the market's implied 21.2%, with Intel's CAPEX cuts manageable. ASML's technological leadership, unmatched supply chain, and strategic partnerships secure its long-term competitive advantage and premium valuation.
Applied Materials' broader chip tool lineup, better near-term outlook and lower valuation give it an edge over ASML Holding right now.
Zacks.com users have recently been watching ASML (ASML) quite a bit. Thus, it is worth knowing the facts that could determine the stock's prospects.
The market punished ASML's strong 2Q25 results; I believe this created an attractive entry point. Strong customer growth is promising, but the path to orders is complex due to reduced short-term CapEx and geopolitics. My bullish case is simple: ASML's EUV advantage is the non-negotiable engine of 'shrink'.
I maintain a buy rating on Mettler-Toledo, highlighting its capital-light, high-cash-generating model and dominant market position. Recent tariff surprises are non-issue; their impact is marginal and easily offset by MTD's efficiency and strong gross margins. MTD's sustained outperformance is driven by relentless efficiency, disciplined capital allocation, and a sticky, high-margin service business.
European equities surged early in 2025, but their momentum looks fragile after Washington and Brussels agreed to a 15 % tariff deal. Chart weakness in tech giants ASML and SAP and a flattening Euro Stoxx 50 ETF suggest investors should tread carefully despite the headlines.
ASML delivered strong Q2 2025 results, beating expectations on revenue and profit, with gross margins above 53%. Stock weakness is driven by management's warning of potential 'no growth' in 2026, due to tariff uncertainty and delayed CAPEX spending. Despite political risks and cyclical volatility, ASML's fundamentals remain robust, with clear long-term growth guidance and a strong AI-driven outlook.
ASML (NASDAQ:ASML), the prominent Dutch semiconductor equipment manufacturer, has experienced a stock drop of nearly 5% over the past week, remaining down by 11% in the last month due to trade tensions that have prompted the company to issue a softer financial forecast. In its Q2 2025 earnings report, ASML cautioned that it could no longer assure that its revenue would increase in 2026, overshadowing an otherwise strong quarter.
ASML Holding N.V.'s management is unable to confirm growth in 2026, citing macroeconomic factors. I believe the main reason for this uncertainty has little to do with macro and geopolitical factors. The slow adoption of high NA EUV tools may be the main factor. From what I'm seeing, TSMC doesn't have compelling reasons to upgrade to the new generation of EUV tools, citing the sky-high price tag as the main reason.
Zacks.com users have recently been watching ASML (ASML) quite a bit. Thus, it is worth knowing the facts that could determine the stock's prospects.