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ASML (NASDAQ:ASML) shares climbed Wednesday after the Dutch chip equipment maker beat Q4 estimates, keeping Wall Street analysts bullish on the stock. Shares were up 4.73% at $715.68 as of 11:17 AM ET, following an initial 6% premarket jump.
Goldman Sachs reiterated its Buy rating with a 1,010 price target, citing strong Q4 order intake, particularly in extreme ultraviolet lithography (EUV) systems, and ASML's reaffirmed 2025 sales outlook of 30B to 35B. However, analysts noted the stock has underperformed European tech peers by 5% in the last three months and remains down 5% year-to-date. Investors are expected to focus on 2026 growth dynamics and demand trends in the Logic and Memory markets.
BofA Securities also maintained its Buy rating with a 803 price target, highlighting that Q4 revenue, EPS, and bookings all exceeded expectations. Analysts pointed to new Memory orders from SK hynix and Samsung Electronics (SSNLF) as a sign of a broader recovery, while strong EUV bookings suggest Taiwan Semiconductor Manufacturing (TSM) is ramping up 2nm node expansion. ASML also acknowledged AI-driven market shifts are benefiting some customers more than others.
This article first appeared on GuruFocus.