ASML HOLDING NV (ASME.DE) Stock Fundamental Analysis
FRA:ASME - Deutsche Boerse Ag - NL0010273215 - Common Stock - Currency: EUR
We assign a fundamental rating of 7 out of 10 to ASME. ASME was compared to 54 industry peers in the Semiconductors & Semiconductor Equipment industry. ASME scores excellent points on both the profitability and health parts. This is a solid base for a good stock. ASME is not overvalued while it is showing excellent growth. This is an interesting combination. These ratings could make ASME a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
ASME had positive earnings in the past year.
In the past year ASME had a positive cash flow from operations.
ASME had positive earnings in each of the past 5 years.
ASME had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of ASME (19.14%) is better than 85.19% of its industry peers.
ASME has a better Return On Equity (43.78%) than 92.59% of its industry peers.
The Return On Invested Capital of ASME (30.33%) is better than 92.59% of its industry peers.
ASME had an Average Return On Invested Capital over the past 3 years of 27.63%. This is significantly above the industry average of 15.49%.
The 3 year average ROIC (27.63%) for ASME is below the current ROIC(30.33%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.14% | ||
| ROE | 43.78% | ||
| ROIC | 30.33% |
ROA(3y)16.75%
ROA(5y)16.43%
ROE(3y)48.67%
ROE(5y)44.39%
ROIC(3y)27.63%
ROIC(5y)25.44%
1.3 Margins
ASME has a Profit Margin of 29.31%. This is amongst the best in the industry. ASME outperforms 90.74% of its industry peers.
In the last couple of years the Profit Margin of ASME has grown nicely.
With an excellent Operating Margin value of 34.90%, ASME belongs to the best of the industry, outperforming 88.89% of the companies in the same industry.
ASME's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 52.58%, ASME is in the better half of the industry, outperforming 70.37% of the companies in the same industry.
In the last couple of years the Gross Margin of ASME has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 34.9% | ||
| PM (TTM) | 29.31% | ||
| GM | 52.58% |
OM growth 3Y-4.54%
OM growth 5Y6.79%
PM growth 3Y-6.68%
PM growth 5Y4.17%
GM growth 3Y0.44%
GM growth 5Y4.34%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so ASME is creating value.
Compared to 1 year ago, ASME has about the same amount of shares outstanding.
The number of shares outstanding for ASME has been reduced compared to 5 years ago.
The debt/assets ratio for ASME has been reduced compared to a year ago.
2.2 Solvency
ASME has an Altman-Z score of 7.54. This indicates that ASME is financially healthy and has little risk of bankruptcy at the moment.
ASME's Altman-Z score of 7.54 is fine compared to the rest of the industry. ASME outperforms 66.67% of its industry peers.
The Debt to FCF ratio of ASME is 0.51, which is an excellent value as it means it would take ASME, only 0.51 years of fcf income to pay off all of its debts.
ASME's Debt to FCF ratio of 0.51 is amongst the best of the industry. ASME outperforms 88.89% of its industry peers.
A Debt/Equity ratio of 0.17 indicates that ASME is not too dependend on debt financing.
ASME's Debt to Equity ratio of 0.17 is in line compared to the rest of the industry. ASME outperforms 59.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 0.51 | ||
| Altman-Z | 7.54 |
ROIC/WACC2.95
WACC10.27%
2.3 Liquidity
A Current Ratio of 1.41 indicates that ASME should not have too much problems paying its short term obligations.
The Current ratio of ASME (1.41) is worse than 77.78% of its industry peers.
A Quick Ratio of 0.79 indicates that ASME may have some problems paying its short term obligations.
ASME's Quick ratio of 0.79 is on the low side compared to the rest of the industry. ASME is outperformed by 83.33% of its industry peers.
ASME does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.41 | ||
| Quick Ratio | 0.79 |
3. Growth
3.1 Past
ASME shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 40.22%, which is quite impressive.
ASME shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 25.62% yearly.
Looking at the last year, ASME shows a very strong growth in Revenue. The Revenue has grown by 26.41%.
ASME shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 19.05% yearly.
EPS 1Y (TTM)40.22%
EPS 3Y10.24%
EPS 5Y25.62%
EPS Q2Q%47.13%
Revenue 1Y (TTM)26.41%
Revenue growth 3Y14.94%
Revenue growth 5Y19.05%
Sales Q2Q%23.21%
3.2 Future
Based on estimates for the next years, ASME will show a quite strong growth in Earnings Per Share. The EPS will grow by 18.80% on average per year.
Based on estimates for the next years, ASME will show a quite strong growth in Revenue. The Revenue will grow by 11.29% on average per year.
EPS Next Y24.43%
EPS Next 2Y21.11%
EPS Next 3Y20.74%
EPS Next 5Y18.8%
Revenue Next Year15.88%
Revenue Next 2Y9.94%
Revenue Next 3Y10.92%
Revenue Next 5Y11.29%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 26.35, ASME can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of ASME indicates a somewhat cheap valuation: ASME is cheaper than 61.11% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.73. ASME is around the same levels.
With a Price/Forward Earnings ratio of 22.43, ASME is valued on the expensive side.
ASME's Price/Forward Earnings is on the same level as the industry average.
ASME is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 34.61, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.35 | ||
| Fwd PE | 22.43 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ASME is on the same level as its industry peers.
72.22% of the companies in the same industry are more expensive than ASME, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.04 | ||
| EV/EBITDA | 20.06 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of ASME may justify a higher PE ratio.
A more expensive valuation may be justified as ASME's earnings are expected to grow with 20.74% in the coming years.
PEG (NY)1.08
PEG (5Y)1.03
EPS Next 2Y21.11%
EPS Next 3Y20.74%
5. Dividend
5.1 Amount
ASME has a Yearly Dividend Yield of 1.06%. Purely for dividend investing, there may be better candidates out there.
ASME's Dividend Yield is a higher than the industry average which is at 1.32.
Compared to an average S&P500 Dividend Yield of 2.39, ASME's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.06% |
5.2 History
On average, the dividend of ASME grows each year by 14.61%, which is quite nice.
Dividend Growth(5Y)14.61%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
26.57% of the earnings are spent on dividend by ASME. This is a low number and sustainable payout ratio.
ASME's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP26.57%
EPS Next 2Y21.11%
EPS Next 3Y20.74%
FRA:ASME (8/12/2025, 7:00:00 PM)
633
+6.2 (+0.99%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners50.81%
Inst Owner ChangeN/A
Ins Owners0.02%
Ins Owner ChangeN/A
Market Cap249.29B
Analysts75.12
Price Target762.93 (20.53%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.06% |
Yearly Dividend6.24
Dividend Growth(5Y)14.61%
DP26.57%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.54%
Min EPS beat(2)1.85%
Max EPS beat(2)11.23%
EPS beat(4)3
Avg EPS beat(4)5.03%
Min EPS beat(4)-0.46%
Max EPS beat(4)11.23%
EPS beat(8)7
Avg EPS beat(8)5.91%
EPS beat(12)11
Avg EPS beat(12)7.64%
EPS beat(16)15
Avg EPS beat(16)7.77%
Revenue beat(2)1
Avg Revenue beat(2)-1.38%
Min Revenue beat(2)-3.04%
Max Revenue beat(2)0.27%
Revenue beat(4)3
Avg Revenue beat(4)-0.06%
Min Revenue beat(4)-3.04%
Max Revenue beat(4)2.45%
Revenue beat(8)5
Avg Revenue beat(8)-0.26%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-3.03%
PT rev (3m)-3.69%
EPS NQ rev (1m)-8.74%
EPS NQ rev (3m)-8.11%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)-5.52%
Revenue NQ rev (3m)-5.63%
Revenue NY rev (1m)0.69%
Revenue NY rev (3m)0.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.35 | ||
| Fwd PE | 22.43 | ||
| P/S | 7.75 | ||
| P/FCF | 27.04 | ||
| P/OCF | 22.27 | ||
| P/B | 11.58 | ||
| P/tB | 21.17 | ||
| EV/EBITDA | 20.06 |
EPS(TTM)24.02
EY3.79%
EPS(NY)28.22
Fwd EY4.46%
FCF(TTM)23.41
FCFY3.7%
OCF(TTM)28.42
OCFY4.49%
SpS81.67
BVpS54.67
TBVpS29.91
PEG (NY)1.08
PEG (5Y)1.03
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.14% | ||
| ROE | 43.78% | ||
| ROCE | 36.63% | ||
| ROIC | 30.33% | ||
| ROICexc | 39.72% | ||
| ROICexgc | 68.12% | ||
| OM | 34.9% | ||
| PM (TTM) | 29.31% | ||
| GM | 52.58% | ||
| FCFM | 28.66% |
ROA(3y)16.75%
ROA(5y)16.43%
ROE(3y)48.67%
ROE(5y)44.39%
ROIC(3y)27.63%
ROIC(5y)25.44%
ROICexc(3y)43.14%
ROICexc(5y)39.83%
ROICexgc(3y)80.76%
ROICexgc(5y)81.19%
ROCE(3y)33.37%
ROCE(5y)30.72%
ROICexcg growth 3Y-15.63%
ROICexcg growth 5Y18.79%
ROICexc growth 3Y0.79%
ROICexc growth 5Y25.18%
OM growth 3Y-4.54%
OM growth 5Y6.79%
PM growth 3Y-6.68%
PM growth 5Y4.17%
GM growth 3Y0.44%
GM growth 5Y4.34%
F-Score8
Asset Turnover0.65
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 0.51 | ||
| Debt/EBITDA | 0.3 | ||
| Cap/Depr | 206.83% | ||
| Cap/Sales | 6.14% | ||
| Interest Coverage | 79.5 | ||
| Cash Conversion | 91.9% | ||
| Profit Quality | 97.79% | ||
| Current Ratio | 1.41 | ||
| Quick Ratio | 0.79 | ||
| Altman-Z | 7.54 |
F-Score8
WACC10.27%
ROIC/WACC2.95
Cap/Depr(3y)258.74%
Cap/Depr(5y)228.24%
Cap/Sales(3y)8.6%
Cap/Sales(5y)9.22%
Profit Quality(3y)91.44%
Profit Quality(5y)107.3%
High Growth Momentum
Growth
EPS 1Y (TTM)40.22%
EPS 3Y10.24%
EPS 5Y25.62%
EPS Q2Q%47.13%
EPS Next Y24.43%
EPS Next 2Y21.11%
EPS Next 3Y20.74%
EPS Next 5Y18.8%
Revenue 1Y (TTM)26.41%
Revenue growth 3Y14.94%
Revenue growth 5Y19.05%
Sales Q2Q%23.21%
Revenue Next Year15.88%
Revenue Next 2Y9.94%
Revenue Next 3Y10.92%
Revenue Next 5Y11.29%
EBIT growth 1Y37.16%
EBIT growth 3Y9.72%
EBIT growth 5Y27.13%
EBIT Next Year33.08%
EBIT Next 3Y21.81%
EBIT Next 5Y18.34%
FCF growth 1Y57.21%
FCF growth 3Y-3.05%
FCF growth 5Y29.82%
OCF growth 1Y29.28%
OCF growth 3Y-1.24%
OCF growth 5Y25.03%