ASML HOLDING NV-NY REG SHS (ASML)

USN070592100

924.97  +5.43 (+0.59%)

After market: 925.46 +0.49 (+0.05%)

Fundamental Rating

7

ASML gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 107 industry peers in the Semiconductors & Semiconductor Equipment industry. ASML scores excellent points on both the profitability and health parts. This is a solid base for a good stock. ASML shows excellent growth, but is valued quite expensive already. This makes ASML very considerable for growth and quality investing!



9

1. Profitability

1.1 Basic Checks

In the past year ASML was profitable.
ASML had a positive operating cash flow in the past year.
ASML had positive earnings in each of the past 5 years.
In the past 5 years ASML always reported a positive cash flow from operatings.

1.2 Ratios

ASML's Return On Assets of 18.84% is amongst the best of the industry. ASML outperforms 92.52% of its industry peers.
ASML has a better Return On Equity (50.06%) than 97.20% of its industry peers.
ASML's Return On Invested Capital of 29.98% is amongst the best of the industry. ASML outperforms 99.07% of its industry peers.
ASML had an Average Return On Invested Capital over the past 3 years of 29.48%. This is significantly above the industry average of 10.73%.
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 91.59% of its industry peers.
In the last couple of years the Profit Margin of ASML has grown nicely.
The Operating Margin of ASML (34.52%) is better than 92.52% of its industry peers.
In the last couple of years the Operating Margin of ASML has grown nicely.
ASML has a Gross Margin of 49.98%. This is in the better half of the industry: ASML outperforms 64.49% of its industry peers.
In the last couple of years the Gross Margin of ASML has grown nicely.
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 9.57 indicates that ASML is not in any danger for bankruptcy at the moment.
ASML's Altman-Z score of 9.57 is fine compared to the rest of the industry. ASML outperforms 76.64% of its industry peers.
ASML has a debt to FCF ratio of 1.36. This is a very positive value and a sign of high solvency as it would only need 1.36 years to pay back of all of its debts.
ASML's Debt to FCF ratio of 1.36 is fine compared to the rest of the industry. ASML outperforms 71.96% of its industry peers.
A Debt/Equity ratio of 0.29 indicates that ASML is not too dependend on debt financing.
ASML's Debt to Equity ratio of 0.29 is in line compared to the rest of the industry. ASML outperforms 40.19% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.29
Debt/FCF 1.36
Altman-Z 9.57
ROIC/WACC2.94
WACC10.21%

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 83.18% of its industry peers.
A Quick Ratio of 0.94 indicates that ASML may have some problems paying its short term obligations.
ASML's Quick ratio of 0.94 is on the low side compared to the rest of the industry. ASML is outperformed by 83.18% 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 RankSector Rank
Current Ratio 1.48
Quick Ratio 0.94

8

3. Growth

3.1 Past

ASML shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.86%.
The Earnings Per Share has been growing by 26.71% on average over the past years. This is a very strong growth
The Revenue has grown by 30.16% in the past year. This is a very strong growth!
ASML shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 20.29% yearly.
EPS 1Y (TTM)3.86%
EPS 3Y32.87%
EPS 5Y26.71%
EPS growth Q2Q-37.17%
Revenue 1Y (TTM)30.16%
Revenue growth 3Y25.39%
Revenue growth 5Y20.29%
Revenue growth Q2QN/A

3.2 Future

The Earnings Per Share is expected to grow by 19.38% on average over the next years. This is quite good.
Based on estimates for the next years, ASML will show a quite strong growth in Revenue. The Revenue will grow by 13.06% on average per year.
EPS Next Y-3.21%
EPS Next 2Y22.04%
EPS Next 3Y20.31%
EPS Next 5Y19.38%
Revenue Next Year2.01%
Revenue Next 2Y13.93%
Revenue Next 3Y12.61%
Revenue Next 5Y13.06%

3.3 Evolution

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

3

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 47.26, ASML can be considered very expensive at the moment.
ASML's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 28.60. ASML is valued rather expensively when compared to this.
Based on the Price/Forward Earnings ratio of 28.79, the valuation of ASML can be described as expensive.
ASML's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 20.15. ASML is valued slightly more expensive when compared to this.
Industry RankSector Rank
PE 47.26
Fwd PE 28.79

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, ASML is valued a bit cheaper than 60.75% of the companies in the same industry.
ASML's Price/Free Cash Flow ratio is in line with the industry average.
Industry RankSector Rank
P/FCF 98.85
EV/EBITDA 31.55

4.3 Compensation for Growth

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 20.31% in the coming years.
PEG (NY)N/A
PEG (5Y)1.77
EPS Next 2Y22.04%
EPS Next 3Y20.31%

4

5. Dividend

5.1 Amount

ASML has a yearly dividend return of 0.71%, which is pretty low.
Compared to an average industry Dividend Yield of 1.83, ASML pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.71, ASML pays less dividend than the S&P500 average, which is at 2.32.
Industry RankSector Rank
Dividend Yield 0.71%

5.2 History

The dividend of ASML is nicely growing with an annual growth rate of 33.46%!
ASML has paid a dividend for at least 10 years, which is a reliable track record.
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 2Y22.04%
EPS Next 3Y20.31%

ASML HOLDING NV-NY REG SHS

NASDAQ:ASML (5/17/2024, 7:00:01 PM)

After market: 925.46 +0.49 (+0.05%)

924.97

+5.43 (+0.59%)

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 Cap363.90B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield 0.71%
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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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 47.26
Fwd PE 28.79
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)1.77
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)
Growth
EPS 1Y (TTM)3.86%
EPS 3Y32.87%
EPS 5Y
EPS growth Q2Q
EPS Next Y-3.21%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)30.16%
Revenue growth 3Y25.39%
Revenue growth 5Y
Revenue growth 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