ASML (NASDAQ:ASML) Stock Falls 3.9% – Time to Sell?

Shares of ASML Holding N.V. (NASDAQ:ASML) fell 3.9% during trading on Wednesday. The stock traded as low as $1,648.80 and last traded at $1,650.00. Approximately 2,856,814 shares traded hands during trading, an increase of 63% from the average session volume of 1,754,166 shares. The stock had previously closed at $1,717.76.

Key Headlines Impacting ASML

Here are the key news stories impacting ASML this week:

• Positive Sentiment: ASML reported record third-quarter net sales of approximately €11.7 billion, about 55% higher year over year, while net income reached roughly €5.0 billion and gross margin expanded to 57.5%. ASML Q3 Results Highlight Record Profit And Premium Valuation
• Positive Sentiment: Management raised its 2026 outlook and said demand for advanced lithography equipment is exceeding available supply through at least 2028. Customers are already discussing orders for 2029 and 2030, supporting long-term growth visibility and capacity expansion plans. ASML says supply will not meet demand at least until 2028
• Positive Sentiment: ASML completed price increases for critical chipmaking products. The higher pricing is expected to improve margins progressively, with the full benefit potentially appearing from 2027–2028 onward. ASML: 3 Key Takeaways for Long-Term Investors
• Neutral Sentiment: JPMorgan maintained an overweight rating while lowering its price target from $2,400 to $2,350, still implying substantial upside based on the cited current price. JPMorgan price target update
• Negative Sentiment: The strong results were accompanied by a slight quarterly sales miss, capacity constraints, and rising costs. With ASML trading at a premium valuation, investors may be demanding faster execution and more upside than the results immediately provide. ASML Stock Falls Following a Slight Sales Miss in Q3
• Negative Sentiment: A lower quarterly dividend, down 2% from the prior payment, and broader technology-sector rotation linked to inflation and higher-rate concerns are additional near-term pressures. Geopolitical and China-related restrictions remain longer-term risks.

Analysts Set New Price Targets

A number of equities research analysts have issued reports on ASML shares. Deutsche Bank Aktiengesellschaft reissued a “buy” rating on shares of ASML in a research report on Friday, July 10th. Susquehanna reissued a “positive” rating on shares of ASML in a research report on Tuesday, June 30th. UBS Group reiterated a “buy” rating on shares of ASML in a research note on Monday, September 28th. Wall Street Zen lowered shares of ASML from a “buy” rating to a “hold” rating in a report on Saturday, August 15th. Finally, Zacks Research cut shares of ASML from a “strong-buy” rating to a “hold” rating in a research report on Friday, July 3rd. Three analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating, two have given a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $2,079.12.

ASML Stock Performance

The stock’s fifty day moving average is $1,741.10 and its two-hundred day moving average is $1,670.87. The firm has a market capitalization of $648.45 billion, a price-to-earnings ratio of 40.52, a price-to-earnings-growth ratio of 0.74 and a beta of 1.77. The company has a debt-to-equity ratio of 0.09, a quick ratio of 0.80 and a current ratio of 1.33.

ASML (NASDAQ:ASML) last issued its quarterly earnings data on Sunday, September 27th. The semiconductor company reported $14.71 EPS for the quarter. The firm had revenue of $13.27 billion for the quarter. ASML had a net margin of 34.10% and a return on equity of 65.18%. Analysts forecast that ASML Holding N.V. will post 43.56 earnings per share for the current year.

ASML Cuts Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, November 4th. Investors of record on Tuesday, October 27th will be paid a $2.1077 dividend. This represents a $8.43 dividend on an annualized basis and a dividend yield of 0.5%. This is a drop from ASML’s previous quarterly dividend of $2.1507. The ex-dividend date is Tuesday, October 27th. ASML’s payout ratio is presently 22.62%.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the stock. James T. Borello RIA raised its holdings in shares of ASML by 3.9% during the third quarter. James T. Borello RIA now owns 212 shares of the semiconductor company’s stock worth $384,000 after purchasing an additional 8 shares during the period. Cyndeo Wealth Partners LLC grew its position in shares of ASML by 7.3% during the 3rd quarter. Cyndeo Wealth Partners LLC now owns 1,316 shares of the semiconductor company’s stock valued at $2,384,000 after buying an additional 89 shares during the last quarter. Hanson & Doremus Investment Management grew its position in shares of ASML by 4.5% during the 3rd quarter. Hanson & Doremus Investment Management now owns 230 shares of the semiconductor company’s stock valued at $417,000 after buying an additional 10 shares during the last quarter. Aspiriant LLC lifted its holdings in ASML by 4.8% in the third quarter. Aspiriant LLC now owns 461 shares of the semiconductor company’s stock worth $835,000 after acquiring an additional 21 shares during the last quarter. Finally, Perryman Financial Advisory Inc. AD boosted its stake in ASML by 0.8% in the third quarter. Perryman Financial Advisory Inc. AD now owns 1,310 shares of the semiconductor company’s stock valued at $2,373,000 after acquiring an additional 10 shares during the period. 26.07% of the stock is owned by institutional investors and hedge funds.

About ASML

ASML Holding N.V. is a Netherlands-based technology company that develops and manufactures advanced lithography systems used by semiconductor manufacturers to produce integrated circuits. Its equipment projects patterns onto silicon wafers, enabling the creation of increasingly smaller and more powerful semiconductor features.

ASML’s product portfolio includes extreme ultraviolet (EUV) lithography systems, deep ultraviolet (DUV) lithography systems, and related metrology and inspection solutions.