ASML HOLDING NV-NY REG SHS (ASML) Stock Fundamental Analysis
USA - NASDAQ:ASML - USN070592100
1029.27 USD
+9.68 (+0.95%)
1031.15 USD
+1.88 (+0.18%)
Overall ASML gets a fundamental rating of 7 out of 10. We evaluated ASML against 112 industry peers in the Semiconductors & Semiconductor Equipment industry. Both the health and profitability get an excellent rating, making ASML a very profitable company, without any liquidiy or solvency issues. ASML is growing strongly while it is still valued neutral. This is a good combination! These ratings could make ASML a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
ASML had positive earnings in the past year.
In the past year ASML had a positive cash flow from operations.
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
The Return On Assets of ASML (20.71%) is better than 91.96% of its industry peers.
The Return On Equity of ASML (47.39%) is better than 94.64% of its industry peers.
With an excellent Return On Invested Capital value of 32.62%, ASML belongs to the best of the industry, outperforming 97.32% of the companies in the same industry.
ASML had an Average Return On Invested Capital over the past 3 years of 27.67%. This is significantly above the industry average of 10.98%.
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 92.86% of its industry peers.
ASML's Profit Margin has improved in the last couple of years.
ASML's Operating Margin of 37.74% is amongst the best of the industry. ASML outperforms 94.64% of its industry peers.
In the last couple of years the Operating Margin of ASML has grown nicely.
Looking at the Gross Margin, with a value of 51.93%, ASML is in the better half of the industry, outperforming 67.86% of the companies in the same industry.
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
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 about the same amount of shares outstanding.
Compared to 5 years ago, ASML has less shares outstanding
The debt/assets ratio for ASML has been reduced compared to a year ago.
2.2 Solvency
ASML has an Altman-Z score of 9.61. This indicates that ASML is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 9.61, ASML is doing good in the industry, outperforming 70.54% of the companies in the same industry.
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.
ASML has a better Debt to FCF ratio (0.51) than 80.36% of its industry peers.
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 | 9.61 |
ROIC/WACC3.18
WACC10.26%
2.3 Liquidity
A Current Ratio of 1.41 indicates that ASML should not have too much problems paying its short term obligations.
ASML has a Current ratio of 1.41. This is amonst the worse of the industry: ASML underperforms 83.93% of its industry peers.
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's Quick ratio of 0.79 is on the low side compared to the rest of the industry. ASML is outperformed by 91.07% of its industry peers.
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 Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.41 | ||
| Quick Ratio | 0.79 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 37.78% 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 25.62% on average per year.
The Revenue has been growing slightly by 2.56% in the past 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)37.78%
EPS 3Y10.24%
EPS 5Y25.62%
EPS Q2Q%4.36%
Revenue 1Y (TTM)2.56%
Revenue growth 3Y14.94%
Revenue growth 5Y19.05%
Sales Q2Q%1.12%
3.2 Future
Based on estimates for the next years, ASML will show a quite strong growth in Earnings Per Share. The EPS will grow by 17.19% on average per year.
ASML is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.98% yearly.
EPS Next Y26.11%
EPS Next 2Y15%
EPS Next 3Y17.12%
EPS Next 5Y17.19%
Revenue Next Year16.46%
Revenue Next 2Y9.97%
Revenue Next 3Y11.18%
Revenue Next 5Y10.98%
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
Based on the Price/Earnings ratio of 36.43, the valuation of ASML can be described as expensive.
66.96% of the companies in the same industry are more expensive than ASML, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of ASML to the average of the S&P500 Index (27.40), we can say ASML is valued slightly more expensively.
ASML is valuated quite expensively with a Price/Forward Earnings ratio of 34.72.
ASML's Price/Forward Earnings is on the same level as the industry average.
ASML is valuated expensively when we compare the Price/Forward Earnings ratio to 22.94, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.43 | ||
| Fwd PE | 34.72 |
4.2 Price Multiples
ASML's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. ASML is cheaper than 68.75% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ASML indicates a somewhat cheap valuation: ASML is cheaper than 74.11% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36.88 | ||
| EV/EBITDA | 25.21 |
4.3 Compensation for Growth
ASML's 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 17.12% in the coming years.
PEG (NY)1.4
PEG (5Y)1.42
EPS Next 2Y15%
EPS Next 3Y17.12%
5. Dividend
5.1 Amount
With a yearly dividend of 0.75%, ASML is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.14, ASML pays a better dividend. On top of this ASML pays more dividend than 80.36% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, ASML's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.75% |
5.2 History
The dividend of ASML is nicely growing with an annual growth rate of 14.61%!
ASML has paid a dividend for at least 10 years, which is 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
ASML pays out 24.55% of its income as dividend. This is a sustainable payout ratio.
The dividend of ASML is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP24.55%
EPS Next 2Y15%
EPS Next 3Y17.12%
1029.27
+9.68 (+0.95%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners43.25%
Inst Owner Change0.05%
Ins Owners0.02%
Ins Owner ChangeN/A
Market Cap399.51B
Analysts76.59
Price Target914.74 (-11.13%)
Short Float %0.58%
Short Ratio1.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.75% |
Yearly Dividend7.26
Dividend Growth(5Y)14.61%
DP24.55%
Div Incr Years1
Div Non Decr Years1
Ex-Date
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)2.86%
PT rev (3m)1.51%
EPS NQ rev (1m)0.29%
EPS NQ rev (3m)-8.74%
EPS NY rev (1m)0.17%
EPS NY rev (3m)1.35%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-5.82%
Revenue NY rev (1m)0.54%
Revenue NY rev (3m)1.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.43 | ||
| Fwd PE | 34.72 | ||
| P/S | 10.66 | ||
| P/FCF | 36.88 | ||
| P/OCF | 27.67 | ||
| P/B | 15.93 | ||
| P/tB | 29.12 | ||
| EV/EBITDA | 25.21 |
EPS(TTM)28.25
EY2.74%
EPS(NY)29.64
Fwd EY2.88%
FCF(TTM)27.91
FCFY2.71%
OCF(TTM)37.2
OCFY3.61%
SpS96.53
BVpS64.62
TBVpS35.35
PEG (NY)1.4
PEG (5Y)1.42
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.71% | ||
| ROE | 47.39% | ||
| ROCE | 39.61% | ||
| ROIC | 32.62% | ||
| ROICexc | 42.72% | ||
| ROICexgc | 73.26% | ||
| OM | 37.74% | ||
| PM (TTM) | 31.73% | ||
| GM | 51.93% | ||
| FCFM | 28.91% |
ROA(3y)17.06%
ROA(5y)16.62%
ROE(3y)48.22%
ROE(5y)44.12%
ROIC(3y)27.67%
ROIC(5y)25.41%
ROICexc(3y)41.66%
ROICexc(5y)38.87%
ROICexgc(3y)84.2%
ROICexgc(5y)83.08%
ROCE(3y)33.6%
ROCE(5y)30.86%
ROICexcg growth 3Y-12.45%
ROICexcg growth 5Y21.45%
ROICexc growth 3Y-3.42%
ROICexc growth 5Y22.02%
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%
F-Score8
Asset Turnover0.65
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 0.51 | ||
| Debt/EBITDA | 0.28 | ||
| Cap/Depr | 250.54% | ||
| Cap/Sales | 9.63% | ||
| Interest Coverage | 85.97 | ||
| Cash Conversion | 92.68% | ||
| Profit Quality | 91.13% | ||
| Current Ratio | 1.41 | ||
| Quick Ratio | 0.79 | ||
| Altman-Z | 9.61 |
F-Score8
WACC10.26%
ROIC/WACC3.18
Cap/Depr(3y)273.2%
Cap/Depr(5y)236.91%
Cap/Sales(3y)11.06%
Cap/Sales(5y)10.7%
Profit Quality(3y)88.17%
Profit Quality(5y)105.34%
High Growth Momentum
Growth
EPS 1Y (TTM)37.78%
EPS 3Y10.24%
EPS 5Y25.62%
EPS Q2Q%4.36%
EPS Next Y26.11%
EPS Next 2Y15%
EPS Next 3Y17.12%
EPS Next 5Y17.19%
Revenue 1Y (TTM)2.56%
Revenue growth 3Y14.94%
Revenue growth 5Y19.05%
Sales Q2Q%1.12%
Revenue Next Year16.46%
Revenue Next 2Y9.97%
Revenue Next 3Y11.18%
Revenue Next 5Y10.98%
EBIT growth 1Y40.28%
EBIT growth 3Y13.31%
EBIT growth 5Y29.61%
EBIT Next Year34.32%
EBIT Next 3Y18.15%
EBIT Next 5Y17.17%
FCF growth 1Y58.59%
FCF growth 3Y-2.76%
FCF growth 5Y30.05%
OCF growth 1Y43.18%
OCF growth 3Y2.19%
OCF growth 5Y27.61%