ASML Analysis

TradingKey - Expectations of Federal Reserve rate hikes, rising financing costs for AI projects, and intensifying competition in memory chips simultaneously hit global tech stocks this week. As of Thursday, the world's 20 largest AI and semiconductor companies by market capitalization had collectively wiped out over $1 trillion in market value, with the chip sector becoming the hardest-hit area in this round of adjustment.

TradingKey - On Wednesday, October 14, Eastern Time, futures on the three major US stock indexes traded mixed in pre-market action as investors remained cautious ahead of the release of the US September CPI data. Earnings from major financial institutions diverged significantly: BlackRock (BLK) reported strong results, while Bank of America was weighed down by regulatory fines and missed earnings expectations. Meanwhile, shipping risks in the Strait of Hormuz pushed international oil prices higher once again.

TradingKey - ASML's €11.66 billion Q3 sales and €44–45 billion annual outlook spotlight AI demand through 2028. Watch Q4 guidance and $1,686 support.

ASML is facing a "sell the news" reaction following its positive earnings, with its stock price dropping 3% and potentially facing a further 10% decline in the short term.

TradingKey - On October 14, global lithography leader ASML reported its third-quarter financial results for 2026. The company achieved record-high net sales of €11.662 billion (approximately $13.066 billion) for the quarter, up about 25% from €9.326 billion in the previous quarter and up about 55% from €7.516 billion in the same period last year. Net profit reached €4.96 billion, with basic earnings per share of €12.95. Gross margin rose to 57.5%, exceeding the upper end of the company's previous guidance range of 55%–57%.

TradingKey - ASML (ASML) will report its third-quarter fiscal 2026 financial results on October 14. As a key global supplier of extreme ultraviolet (EUV) lithography equipment, the company is benefiting from demand for advanced chips driven by the expansion of artificial intelligence infrastructure.

TradingKey - According to South Korean semiconductor media outlet The Elec, citing industry sources, ASML will raise the prices of replacement parts for EUV and DUV lithography equipment supplied to the South Korean market by a flat 10%, with the new pricing taking effect for parts delivered starting January 2027. Procurement departments at Samsung Electronics and SK Hynix have accepted the price increase, though the report did not disclose procurement amounts or specific contract terms.

TradingKey - ASML heads into October 14 earnings with AI-driven demand, raised 2026 guidance and new Hyper NA progress extending its lithography lead.

According to South Korean media outlet The Elec, ASML will implement a uniform 10% price increase on replacement parts for lithography equipment supplied to the South Korean market, effective with shipments starting in January 2027. The price hike covers all spare parts for both extreme ultraviolet (EUV) and deep ultraviolet (DUV) lithography systems. This adjustment will raise equipment maintenance costs for Samsung Electronics and SK Hynix, while reflecting semiconductor equipment suppliers' push for greater pricing power amid AI-related capacity expansion.

TradingKey - As of press time on September 8 ET, Intel (INTC) rose 4.72% in pre-market trading to $100.32. In the previous trading session, the stock closed at $95.80, up 4.51%.