1395 USD
+34.91 (+2.57%)
1378 USD
-17 (-1.22%)
Overall ASML gets a fundamental rating of 7 out of 10. We evaluated ASML against 113 industry peers in the Semiconductors & Semiconductor Equipment industry. ASML has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. ASML is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! These ratings could make ASML a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
- In the past year ASML was profitable.
- ASML had a positive operating cash flow in the past year.
- In the past 5 years ASML has always been profitable.
- Each year in the past 5 years ASML had a positive operating cash flow.
1.2 Ratios
- ASML has a better Return On Assets (20.71%) than 93.81% of its industry peers.
- The Return On Equity of ASML (47.39%) is better than 94.69% of its industry peers.
- ASML has a Return On Invested Capital of 32.62%. This is amongst the best in the industry. ASML outperforms 97.35% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for ASML is significantly above the industry average of 10.75%.
- The last Return On Invested Capital (32.62%) for ASML is above the 3 year average (27.67%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.71% | ||
| ROE | 47.39% | ||
| ROIC | 32.62% |
ROA(3y)17.06%
ROA(5y)16.62%
ROE(3y)48.22%
ROE(5y)44.12%
ROIC(3y)27.67%
ROIC(5y)25.41%
1.3 Margins
- ASML has a Profit Margin of 31.73%. This is amongst the best in the industry. ASML outperforms 90.27% 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 37.74%, ASML belongs to the top of the industry, outperforming 95.58% of the companies in the same industry.
- In the last couple of years the Operating Margin of ASML has grown nicely.
- ASML's Gross Margin of 51.93% is fine compared to the rest of the industry. ASML outperforms 66.37% of its industry peers.
- In the last couple of years the Gross Margin of ASML has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 37.74% | ||
| PM (TTM) | 31.73% | ||
| GM | 51.93% |
OM growth 3Y-1.42%
OM growth 5Y8.87%
PM growth 3Y-3.59%
PM growth 5Y6.23%
GM growth 3Y-0.04%
GM growth 5Y4.04%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), ASML is creating value.
- The number of shares outstanding for ASML remains at a similar level compared to 1 year ago.
- ASML has less shares outstanding than it did 5 years ago.
- ASML has a better debt/assets ratio than last year.
2.2 Solvency
- ASML has an Altman-Z score of 12.27. This indicates that ASML is financially healthy and has little risk of bankruptcy at the moment.
- ASML has a Altman-Z score of 12.27. This is in the better half of the industry: ASML outperforms 74.34% of its industry peers.
- The Debt to FCF ratio of ASML is 0.51, which is an excellent value as it means it would take ASML, only 0.51 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 0.51, ASML belongs to the top of the industry, outperforming 80.53% of the companies in the same industry.
- A Debt/Equity ratio of 0.17 indicates that ASML is not too dependend on debt financing.
- The Debt to Equity ratio of ASML (0.17) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 0.51 | ||
| Altman-Z | 12.27 |
ROIC/WACC3.18
WACC10.26%
2.3 Liquidity
- ASML has a Current Ratio of 1.41. This is a normal value and indicates that ASML is financially healthy and should not expect problems in meeting its short term obligations.
- With a Current ratio value of 1.41, ASML is not doing good in the industry: 84.96% of the companies in the same industry are doing better.
- ASML has a Quick Ratio of 1.41. This is a bad value and indicates that ASML is not financially healthy enough and could expect problems in meeting its short term obligations.
- ASML has a Quick ratio of 0.79. This is amonst the worse of the industry: ASML underperforms 91.15% of its industry peers.
- The current and quick ratio evaluation for ASML is rather negative, while it does have 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
- ASML shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 37.61%, which is quite impressive.
- The Earnings Per Share has been growing by 25.62% on average over the past years. This is a very strong growth
- Looking at the last year, ASML shows a small growth in Revenue. The Revenue has grown by 2.56% in the last year.
- ASML shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 19.05% yearly.
EPS 1Y (TTM)37.61%
EPS 3Y10.24%
EPS 5Y25.62%
EPS Q2Q%3.79%
Revenue 1Y (TTM)2.56%
Revenue growth 3Y14.94%
Revenue growth 5Y19.05%
Sales Q2Q%0.65%
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 19.44% yearly.
- Based on estimates for the next years, ASML will show a quite strong growth in Revenue. The Revenue will grow by 12.10% on average per year.
EPS Next Y31.25%
EPS Next 2Y17.48%
EPS Next 3Y19.72%
EPS Next 5Y19.44%
Revenue Next Year16.7%
Revenue Next 2Y10.56%
Revenue Next 3Y12.02%
Revenue Next 5Y12.1%
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.
4. Valuation
4.1 Price/Earnings Ratio
- ASML is valuated quite expensively with a Price/Earnings ratio of 49.21.
- 64.60% of the companies in the same industry are more expensive than ASML, based on the Price/Earnings ratio.
- ASML's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.32.
- ASML is valuated quite expensively with a Price/Forward Earnings ratio of 44.87.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of ASML is on the same level as its industry peers.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.32, ASML is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 49.21 | ||
| Fwd PE | 44.87 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, ASML is valued a bit cheaper than the industry average as 65.49% of the companies are valued more expensively.
- 72.57% of the companies in the same industry are more expensive than ASML, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 49.74 | ||
| EV/EBITDA | 34.39 |
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 ASML may justify a higher PE ratio.
- A more expensive valuation may be justified as ASML's earnings are expected to grow with 19.72% in the coming years.
PEG (NY)1.57
PEG (5Y)1.92
EPS Next 2Y17.48%
EPS Next 3Y19.72%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.39%, ASML is not a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 0.51, ASML pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.83, ASML's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.39% |
5.2 History
- The dividend of ASML is nicely growing with an annual growth rate of 14.61%!
- ASML has been paying a dividend for at least 10 years, so it has a reliable track record.
- The dividend of ASML decreased recently.
Dividend Growth(5Y)14.61%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- 24.55% of the earnings are spent on dividend by ASML. This is a low number and sustainable payout ratio.
- The dividend of ASML is growing, but earnings are growing more, so the dividend growth is sustainable.
DP24.55%
EPS Next 2Y17.48%
EPS Next 3Y19.72%
ASML HOLDING NV-NY REG SHS / ASML FAQ
Can you provide the ChartMill fundamental rating for ASML HOLDING NV-NY REG SHS?
ChartMill assigns a fundamental rating of 7 / 10 to ASML.
Can you provide the valuation status for ASML HOLDING NV-NY REG SHS?
ChartMill assigns a valuation rating of 4 / 10 to ASML HOLDING NV-NY REG SHS (ASML). This can be considered as Fairly Valued.
How profitable is ASML HOLDING NV-NY REG SHS (ASML) stock?
ASML HOLDING NV-NY REG SHS (ASML) has a profitability rating of 9 / 10.
What is the valuation of ASML HOLDING NV-NY REG SHS based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ASML HOLDING NV-NY REG SHS (ASML) is 49.21 and the Price/Book (PB) ratio is 21.48.
What is the earnings growth outlook for ASML HOLDING NV-NY REG SHS?
The Earnings per Share (EPS) of ASML HOLDING NV-NY REG SHS (ASML) is expected to grow by 31.25% in the next year.