On October 12, 2023, ASML (NASDAQ:ASML) experienced a target price reduction by equities research analysts at JPMorgan Chase & Co. The target price was lowered from $772.00 to $732.00 in a research report released on Wednesday, as reported by Benzinga. Despite the reduced target price, JPMorgan Chase & Co. maintains an “overweight” rating on ASML’s stock. According to JPMorgan Chase & Co.’s price target, there is a potential upside of 21.49% from the current price of the company.
During trading on Wednesday, ASML stock traded up by $0.38 and reached $602.53 per share. The trading volume amounted to 763,815 shares, compared to the average trading volume of 1,022,354 shares. ASML currently holds a market capitalization of $237.75 billion with a P/E ratio of 30.56 and a beta of 1.46.
ASML Holding N.V., a semiconductor equipment systems developer and manufacturer, offers lithography, metrology, and inspection systems for memory and logic chipmakers. These advanced systems include extreme ultraviolet lithography systems and deep ultraviolet lithography systems for manufacturing various semiconductor nodes and technologies.
ASML last announced its quarterly earnings data on Wednesday, July 19th where they reported earnings per share of $5.37 for the quarter. This exceeded analysts’ consensus estimates by $0.39 with the strong financial performance reflecting a return on equity of 79.17% and a net margin of 28.67%. The company generated revenue amounting to $7.51 billion during the same period.
Research analysts anticipate that ASML will post earnings per share of approximately 21.69 for the current fiscal year based on their projections.
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ASML’s Future Outlook: Analyzing Research Reports and Investor Actions
In recent months, ASML has been the topic of much discussion and analysis from various research reports. One such report came from Wells Fargo & Company, who raised ASML’s price objective from $775.00 to $800.00 and assigned the company an “overweight” rating on July 20th. However, New Street Research took a different stance, downgrading ASML from a “buy” rating to a “neutral” rating on June 16th.
Another firm, Wolfe Research, initiated coverage on ASML and provided an “outperform” rating on September 14th. StockNews.com also began coverage on October 5th, giving ASML a “hold” rating. These varying opinions reflect the diversity of perspectives within the investment community.
Notably, Sanford C. Bernstein contrasted with previous bullish sentiments by lowering ASML’s rating from “outperform” to “market perform.” They further reduced the price objective for the company from $810.00 to $785.00 in their report released on July 28th.
Seven analysts have deemed ASML as a hold, while ten analysts have given it a buy rating. Bloomberg reported that ASML currently holds an average rating of “Moderate Buy,” with a consensus target price of $753.20.
Moving onto investors’ activities related to ASML stock, large investors have recently made changes to their holdings in the company. Venture Visionary Partners LLC increased its position in ASML by 2.9% during the second quarter—a move that boosted their stake by an additional 15 shares valued at approximately $392,000.
Similarly, Analyst IMS Investment Management Services Ltd., during the same period, augmented its holdings by acquiring another 15 shares worth around $2,045,000—representing a minor increase of 0.5%. Additionally, Apollon Wealth Management LLC raised its holdings in ASML by obtaining an extra 15 shares valued at $1,986,000—a 0.4% increase in the fourth quarter.
Furthermore, TFB Advisors LLC raised its stake in ASML by 2.6% during the first quarter by purchasing an additional 16 shares valued at approximately $427,000. Lastly, Mitchell & Pahl Private Wealth LLC increased its holdings in ASML by acquiring another 16 shares worth around $739,000—a 1.5% boost also witnessed in the first quarter.
Institutional investors and hedge funds currently own roughly 18.94% of the company’s stock. These adjustments made by significant shareholders indicate their continued interest and confidence in ASML’s performance.
The aforementioned research reports and changes in shareholder positions contribute to a sense of perplexity and confusion surrounding ASML’s future outlook for potential investors and market observers alike. The contrasting ratings and opinions emphasize the complexity of predicting the company’s trajectory in a rapidly changing market landscape.
It is essential for investors to closely monitor further developments surrounding ASML and remain informed about any updates that may impact its price performance or overall investment potential.
