ASML stock price target raised to EUR1,000 by Evercore ISI on AI demand

Investing.com - Evercore ISI raised its price target on ASML Holding NV (AS:ASML) (NASDAQ:ASML) to EUR1,000.00 from EUR755.00 while maintaining an Outperform rating. The semiconductor equipment giant, currently valued at $397.55 billion, has seen its stock surge nearly 60% over the past six months. According to InvestingPro data, ASML stands as a prominent player in the Semiconductors & Semiconductor Equipment industry.

ASML shares traded up 3% following a quarterly earnings beat and raised outlook. The semiconductor equipment manufacturer reported strong extreme ultraviolet (EUV) lithography bookings and provided a positive outlook for 2026. With a robust revenue growth of 26.4% and an impressive return on equity of 58%, ASML’s financial performance remains solid. InvestingPro subscribers can access 14 additional key insights about ASML’s growth potential.

The company expects 2026 revenue to be flat-to-up, driven by strength in EUV revenues benefiting from artificial intelligence demand, offset by a decline in China revenues. Management noted that uncertainty around tariffs has eased, improving visibility for future performance. Based on InvestingPro’s Fair Value analysis, ASML currently appears to be trading near its fair value, with analysts maintaining a strong buy consensus.

ASML reported order intake of EUR5.4 billion, exceeding consensus by 650 basis points, with EUV orders growing 57% quarter-over-quarter. Memory orders increased 186% quarter-over-quarter, signaling recovery in memory spending. The company exited the September 2025 quarter with over EUR35.2 billion in overall backlog.

The company plans revenue recognition of four High-NA tools in 2025 and expects the next wave of High-NA orders to support volume ramps in the second half of 2026 for shipment in 2028, given the 18-month lead time.

In other recent news, ASML Holding NV reported third-quarter bookings of EUR5.4 billion, surpassing consensus expectations of EUR4.9 billion. The company’s performance was driven by its EUV technology for DRAM memory chips. Goldman Sachs raised its price target for ASML to EUR1,050.00 from EUR935.00, maintaining a Buy rating, after ASML’s third-quarter EBIT exceeded consensus estimates despite lower-than-expected revenue. Deutsche Bank also increased its price target for ASML to EUR1,000.00 from EUR900.00, citing a strong outlook. BofA Securities raised its price target for ASML to €986 from €941, with higher earnings estimates for 2025 and 2026 due to improved margins and increased EUV lithography system deliveries expected in 2026. Additionally, BofA Securities raised its price target to $1,134.00 from $1,082.00, highlighting increased earnings per share estimates based on higher gross margins and EUV delivery forecasts. ASML’s Chief Financial Officer, Roger Dassen, clarified that the anticipated decline in sales to China next year is not due to customer stockpiling. These developments reflect the company’s strategic positioning and analyst confidence in its future performance.

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