ASML HOLDING NV (ASML.AS)

NL0010273215 - Common Stock

963.4  -25.5 (-2.58%)

Fundamental Rating

7

ASML gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 57 industry peers in the Semiconductors & Semiconductor Equipment industry. ASML gets an excellent profitability rating and is at the same time showing great financial health properties. ASML is valued quite expensively, but it does show have an excellent growth rating. With these ratings, ASML could be worth investigating further for growth and quality investing!.



9

1. Profitability

1.1 Basic Checks

ASML had positive earnings in the past year.
ASML had a positive operating cash flow in the past year.
Each year in the past 5 years ASML has been profitable.
ASML had a positive operating cash flow in each of the past 5 years.

1.2 Ratios

With an excellent Return On Assets value of 18.84%, ASML belongs to the best of the industry, outperforming 84.21% of the companies in the same industry.
ASML has a Return On Equity of 50.06%. This is amongst the best in the industry. ASML outperforms 89.47% of its industry peers.
Looking at the Return On Invested Capital, with a value of 29.98%, ASML belongs to the top of the industry, outperforming 91.23% of the companies in the same industry.
ASML had an Average Return On Invested Capital over the past 3 years of 29.48%. This is significantly above the industry average of 17.10%.
The last Return On Invested Capital (29.98%) for ASML is above the 3 year average (29.48%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 18.84%
ROE 50.06%
ROIC 29.98%
ROA(3y)18.13%
ROA(5y)15.59%
ROE(3y)52.84%
ROE(5y)40.26%
ROIC(3y)29.48%
ROIC(5y)23.28%

1.3 Margins

ASML has a Profit Margin of 29.45%. This is amongst the best in the industry. ASML outperforms 84.21% of its industry peers.
In the last couple of years the Profit Margin of ASML has grown nicely.
Looking at the Operating Margin, with a value of 34.52%, ASML belongs to the top of the industry, outperforming 82.46% of the companies in the same industry.
ASML's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 49.98%, ASML is doing good in the industry, outperforming 66.67% of the companies in the same industry.
ASML's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 34.52%
PM (TTM) 29.45%
GM 49.98%
OM growth 3Y4.37%
OM growth 5Y5.55%
PM growth 3Y3.65%
PM growth 5Y5%
GM growth 3Y3.14%
GM growth 5Y3%

7

2. Health

2.1 Basic Checks

ASML has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, ASML has less shares outstanding
The number of shares outstanding for ASML has been reduced compared to 5 years ago.
The debt/assets ratio for ASML has been reduced compared to a year ago.

2.2 Solvency

An Altman-Z score of 10.76 indicates that ASML is not in any danger for bankruptcy at the moment.
The Altman-Z score of ASML (10.76) is better than 82.46% of its industry peers.
The Debt to FCF ratio of ASML is 1.36, which is an excellent value as it means it would take ASML, only 1.36 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 1.36, ASML is doing good in the industry, outperforming 77.19% of the companies in the same industry.
A Debt/Equity ratio of 0.29 indicates that ASML is not too dependend on debt financing.
ASML has a Debt to Equity ratio (0.29) which is comparable to the rest of the industry.
Industry RankSector Rank
Debt/Equity 0.29
Debt/FCF 1.36
Altman-Z 10.76
ROIC/WACC2.91
WACC10.31%

2.3 Liquidity

ASML has a Current Ratio of 1.48. This is a normal value and indicates that ASML is financially healthy and should not expect problems in meeting its short term obligations.
ASML has a Current ratio of 1.48. This is amonst the worse of the industry: ASML underperforms 84.21% of its industry peers.
A Quick Ratio of 0.94 indicates that ASML may have some problems paying its short term obligations.
With a Quick ratio value of 0.94, ASML is not doing good in the industry: 85.96% of the companies in the same industry are doing better.
ASML 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 RankSector Rank
Current Ratio 1.48
Quick Ratio 0.94

8

3. Growth

3.1 Past

The Earnings Per Share has been growing slightly by 3.86% over the past year.
Measured over the past years, ASML shows a very strong growth in Earnings Per Share. The EPS has been growing by 26.71% on average per year.
Looking at the last year, ASML shows a very strong growth in Revenue. The Revenue has grown by 30.16%.
Measured over the past years, ASML shows a very strong growth in Revenue. The Revenue has been growing by 20.29% on average per year.
EPS 1Y (TTM)3.86%
EPS 3Y32.87%
EPS 5Y26.71%
EPS Q2Q%-37.17%
Revenue 1Y (TTM)30.16%
Revenue growth 3Y25.39%
Revenue growth 5Y20.29%
Sales Q2Q%N/A

3.2 Future

ASML is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.38% yearly.
ASML is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.06% yearly.
EPS Next Y-3.27%
EPS Next 2Y24.56%
EPS Next 3Y20.81%
EPS Next 5Y19.38%
Revenue Next Year1.55%
Revenue Next 2Y15.73%
Revenue Next 3Y13.39%
Revenue Next 5Y13.06%

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.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.

2

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 53.37, ASML can be considered very expensive at the moment.
Based on the Price/Earnings ratio, ASML is valued a bit more expensive than 66.67% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.63, ASML is valued quite expensively.
With a Price/Forward Earnings ratio of 31.22, ASML can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ASML indicates a slightly more expensive valuation: ASML is more expensive than 70.18% of the companies listed in the same industry.
ASML's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 20.22.
Industry RankSector Rank
PE 53.37
Fwd PE 31.22

4.2 Price Multiples

61.40% of the companies in the same industry are cheaper than ASML, based on the Enterprise Value to EBITDA ratio.
The rest of the industry has a similar Price/Free Cash Flow ratio as ASML.
Industry RankSector Rank
P/FCF 111.65
EV/EBITDA 36.62

4.3 Compensation for Growth

ASML has an outstanding profitability rating, which may justify a higher PE ratio.
ASML's earnings are expected to grow with 20.81% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)2
EPS Next 2Y24.56%
EPS Next 3Y20.81%

3

5. Dividend

5.1 Amount

With a yearly dividend of 0.62%, ASML is not a good candidate for dividend investing.
ASML's Dividend Yield is comparable with the industry average which is at 1.06.
With a Dividend Yield of 0.62, ASML pays less dividend than the S&P500 average, which is at 2.38.
Industry RankSector Rank
Dividend Yield 0.62%

5.2 History

The dividend of ASML is nicely growing with an annual growth rate of 33.46%!
Dividend Growth(5Y)33.46%
Div Incr Years0
Div Non Decr Years0

5.3 Sustainability

ASML pays out 28.94% of its income as dividend. This is a sustainable payout ratio.
ASML's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP28.94%
EPS Next 2Y24.56%
EPS Next 3Y20.81%

ASML HOLDING NV

AMS:ASML (6/21/2024, 7:00:00 PM)

963.4

-25.5 (-2.58%)

Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap379.02B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield 0.62%
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(16)
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Revenue beat(2)
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Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
Industry RankSector Rank
PE 53.37
Fwd PE 31.22
P/S
P/FCF
P/OCF
P/B
P/tB
EV/EBITDA
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)2
Profitability
Industry RankSector Rank
ROA 18.84%
ROE 50.06%
ROCE
ROIC
ROICexc
ROICexgc
OM 34.52%
PM (TTM) 29.45%
GM 49.98%
FCFM
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.64
Health
Industry RankSector Rank
Debt/Equity 0.29
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 1.48
Quick Ratio 0.94
Altman-Z
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)3.86%
EPS 3Y32.87%
EPS 5Y
EPS Q2Q%
EPS Next Y-3.27%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)30.16%
Revenue growth 3Y25.39%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y