ASML (ASML) Outpaces Stock Market Gains: What You Should Know
ASML (ASML) closed at $709.33 in the latest trading session, marking a +1.76% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.18%.
Coming into today, shares of the equipment supplier to semiconductor makers had gained 7.61% in the past month. In that same time, the Computer and Technology sector gained 6.46%, while the S&P 500 gained 2.43%.
Wall Street will be looking for positivity from ASML as it approaches its next earnings report date. On that day, ASML is projected to report earnings of $2.89 per share, which would represent year-over-year growth of 46.7%.
For the full year, our Zacks Consensus Estimates are projecting earnings of $15.33 per share and revenue of $21.85 billion, which would represent changes of +58.2% and +36.12%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for ASML. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.03% higher. ASML is currently sporting a Zacks Rank of #1 (Strong Buy).
Digging into valuation, ASML currently has a Forward P/E ratio of 45.48. This valuation marks a premium compared to its industry's average Forward P/E of 22.5.
It is also worth noting that ASML currently has a PEG ratio of 1.52. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. ASML's industry had an average PEG ratio of 1.17 as of yesterday's close.
The Semiconductor Equipment - Wafer Fabrication industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 9, putting it in the top 4% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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