Should I buy ASML stock in 2025?

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At HelloSafe, our expert has been monitoring the performance of ASML shares for more than three years. Every month, tens of thousands of users in Singapore rely on us to break down market trends and highlight the most attractive investment opportunities. Our analyses are provided solely for informational purposes and should not be considered as investment advice. In line with our ethical charter, we have never been, and will never be, compensated by ASML.

What is ASML?

How much is ASML stock?

The price of ASML stock is rising this week. As of now, ASML trades at $708.03, up 1.09% over the last 24 hours but down 2.56% for the week, with a market capitalization of $266.48 billion.

The stock sees an average daily volume of 1.67 million shares over the past three months. ASML’s price-to-earnings (P/E) ratio stands at 29.84, with a current dividend yield of 0.83%, and exhibits a beta of 1.26.

While ASML remains essential to global semiconductor advancements, investors should note its moderate volatility within the current market environment.

Our full analysis on ASML stock

We have conducted a thorough review of ASML’s most recent financials alongside its three-year stock trajectory, synthesizing in-depth market data, sector trends, financial ratios, and competitive analysis using our proprietary algorithms. By integrating insights from leading indicators and up-to-date market intelligence, we aim to present a comprehensive technical and strategic outlook. So, why might ASML stock once again become a strategic entry point into the global semiconductor growth cycle as 2025 unfolds?

Recent Performance and Market Context

ASML’s share price currently trades at €633.60 (AMS) / $708.03 (NASDAQ), representing a near-term contraction of -23.89% over twelve months but coming off a record 52-week high of $1,110.09. This pullback, largely attributed to sector rotation, cyclical headwinds, and macro policy uncertainties (notably tariffs), has brought the valuation to historically compelling territory. In the past year, after significant outperformance driven by the global semiconductor rally, the recent consolidation enhances its attractiveness, especially as technical and fundamental catalysts realign for renewed interest.

Recent quarters have delivered a series of positive developments aligned with robust shareholder value creation:

• Q1 2025 saw net sales of €7.7B and a gross margin of 54% (above expectations), with EPS surging to €6.00 (+93% YoY), highlighting solid operational execution even in a challenging environment.
• Deployment of High-NA EUV systems escalates ASML’s technological moat and enables deeper market penetration into advanced nodes for next-gen AI and high-performance computing.
• Aggressive share buyback programme (€2.7B in Q1 alone) reflects high management confidence and supports per-share capital returns.
• Analyst consensus remains solidly constructive, with 43 international analysts maintaining a “Buy” outlook and an average price target at $898.83 (~27% upside potential).

On the macro front, despite temporary tariff-induced volatility, secular drivers from global digitalization, advanced electronics proliferation, and the AI revolution remain remarkable tailwinds. The outlook anticipates renewed sector expansion into 2025 and 2026 as end markets for semiconductors—cloud, automotive, and consumer electronics—reaccelerate.

Technical Analysis

Examining the current technical structure, ASML’s recent price action demonstrates a constructive base formation:

• Short- and medium-term moving averages (5, 20, 50 days) now reside below the current price, with the 20-day simple moving average at €667.07 and the 50-day at €681.54, confirming a positive momentum crossover—often seen as a signal for the end of a correction and the beginning of new uptrends.
• The RSI(14) at 59.33 signals neither extreme overbought nor oversold conditions, a setup frequently preceding renewed buying interest and volatility contraction.
• MACD (5.41) and a high CCI (176.60) indicate building bullish momentum, while the Stochastic (82.99) reflects positive underlying demand, poised to transition further into strength if buying volume persists.
• Support levels at $618.70 and $606.90 have held robustly during prior sell-offs, suggesting downside risk is supported by technical demand pockets. Resistance at $686.01 and $704.52 is well-defined; a sustained breakout above these may trigger fresh inflows from technical traders.
• The trend’s directional strength, with an ADX (10.27), indicates the market is still in the early stages of its reversal structure—a classic environment for accumulation by forward-looking investors.

In sum, while volatility (ATR-14 at 22.75) remains elevated, technical signals lean toward a transition phase, favoring opportunistic accumulation ahead of a confirmed uptrend. This constructively reinforces the notion of a timely entry, supported by a convergence of technical supports and incipient positive momentum.

Fundamental Analysis

Revenue, Profitability, and Strategic Expansion

ASML’s Q1 2025 results underscore exceptional topline growth and margin resilience:

• Net sales reached €7.7B, in line with the upper end of guidance, and gross margin expanded to 54%. Quarterly net income hit €2.4B, with EPS up 93% YoY.
• Forward guidance remains strong, targeting €30-€35B in 2025 revenue and gross margin of 51%-53%, outpacing sector averages and signifying industry leadership even as some cyclical softness clouds the broader sector.
• The star performer remains EUV and High-NA EUV technology—ASML’s flagship solutions retain a virtual monopoly, commanding premium pricing and defending global share.

Attractive Valuation

• Current P/E (TTM): 29.84; viewed next to a Forward P/E: 24.57, offers a distinct re-rating potential as earnings normalization resumes through the AI and digitalization cycle.
• Price/Sales of 7.50 and EV/Revenue of 7.28 are justified given ASML’s unique technological positioning, hard-to-replicate intellectual property, and non-cyclical pricing power—especially when benchmarked against sector peers with less dominant market share.
• Dividend growth is also notable, rising by 4.9% in 2024, while a conservative payout ratio of 29.89% leaves room for future increases.

Structural Strengths

• Virtual Monopolist Status in EUV: The high entry barriers, technology lead, and customer lock-in position ASML as the indispensable supplier in an otherwise fragmented supply chain.
• Innovation Flywheel: Scale and spend in R&D (~€1.2B per quarter) underpin next-generation roadmap visibility, especially as advanced AI workloads demand ever-smaller transistors.
• Brand and Governance: Strong ESG commitments, robust balance sheet, and experienced leadership (CEO Christophe Fouquet since 2024) further cement long-haul confidence.

These factors combine to produce a fundamental picture rarely matched in global tech—one that, even after a significant price correction, now offers value investors and growth buyers alike an unusually attractive entry profile.

Volume and Liquidity

ASML’s daily trading volume averages 1.67 million shares over three months, ensuring high liquidity and favorable execution, even for sizable institutional positions. This sustained liquidity—despite recent volatility—demonstrates continuing investor conviction and enables dynamic valuation adjustment, a key asset for active portfolio management.

• The stock’s float supports healthy market breadth, facilitating efficient price discovery and mitigating the threat of erratic moves due to thin trading.
• The share buyback programme is a powerful liquidity tailwind: with €2.7B repurchased in Q1 2025 alone, float reduction acts as a buoy for per-share value and future price appreciation.

Active liquidity and effective capital return reinforce a favorable context for new or incremental positions ahead of anticipated sector recuperation.

Catalysts and Positive Outlook

Several forward-looking catalysts buttress the case for ASML evolving into a renewed growth engine for 2025 and beyond:

• AI-Driven Demand: The relentless rise of AI, both at infrastructure (data centre) and edge (device) levels, drives structural demand for leading-edge chips, guaranteeing secular growth for ASML’s EUV platform.
• Next-Generation High-NA EUV: Iterative product innovation fortifies ASML’s competitive edge and augments the effective addressable market as chipmakers transition to more advanced nodes.
• Industry Expansion: Management anticipates industry tailwinds in 2025–2026, as foundry and IDMs ramp investments to meet swelling demand from automotive, cloud, and consumer applications.
• ESG and Sustainability: ASML continues to prioritize green manufacturing processes and comprehensive governance. This resonates with institutional mandates and helps attract a broader asset owner base.
• Ongoing Share Buybacks: These not only return value but also signal deep internal conviction regarding medium-term prospects and capital discipline.

Taken together, these developments create an upward bias—supported by technological leadership, accelerating end-market adoption curves, and strong corporate governance.

Investment Strategies

Whether for short-, medium-, or long-term allocations, ASML’s current setup presents a compelling opportunity profile.

Short-Term

• Technical indicators and support levels suggest that a technical bottom may be forming after a year-long correction, with potential for a swift reversal if resistance at $686 and $704 are convincingly cleared.
• Volatility offers scope for tactical trades, as market confidence returns on strong financial results and management buyback activity.

Medium-Term

• With sector growth reigniting through the global AI and digitalization wave, and with management projecting robust sales momentum for 2025–2026, the stock offers significant upside from current levels as the cyclical trough gives way to renewed expansion.
• Strong buy-side analyst consensus, with a 27% upside consensus target, reinforces the narrative for a return to outperformance as cyclical and secular drivers converge.

Long-Term

• ASML’s technological monopoly, outsized R&D pipeline, and privileged customer base make it uniquely well-insulated from disruption and ideally placed for compounding returns as semiconductor complexity grows.
• Compelling dividend growth, ongoing share repurchases, and best-in-class profitability metrics (gross margin, ROIC, balance sheet strength) provide further comfort for multi-year horizon investors.
• The current price correction, paired with historic financial and technological advantages, means this moment seems to represent an excellent opportunity to initiate or grow long-term exposure.

In sum, positioning ahead of anticipated catalyst events—or at technical lows—offers a prudent approach for investors seeking participation in a potential new bullish phase.

Is It the Right Time to Buy ASML?

ASML’s enduring leadership in semiconductor equipment, exceptional financial momentum, and near-term technical tailwinds combine to shape a scenario in which the fundamentals justify renewed, serious interest. The company’s resilience, reflected in growing sales, sustained margins, and a shareholder-friendly capital allocation policy, is complemented by secular growth themes anchored in AI, cloud, and global digitalization.

Key arguments include:

• Best-in-class technology platform with insurmountable competitive barriers.
• Strong balance sheet and ongoing returns to shareholders through dividends and buybacks.
• Constructive technical structure with defined support and resistance, favoring accumulation at current levels.
• High liquidity, ensuring efficient execution and market confidence.
• Strong sector and macro tailwinds as the semiconductor cycle turns upwards.

With a consensus analyst price target offering meaningful upside, and supported by institutional-grade financials, ASML’s recent retracement may be offering a rare opportunity for long-term, quality-focused investors to gain exposure to the heart of next-generation computing. As the semiconductor sector pivots back to growth, ASML seems particularly well-positioned—making the current environment highly attractive for those seeking to participate in the unfolding AI and digital revolution.

As ASML navigates global complexities and leads the charge in technological advancement, its shares seem to represent a compelling blend of strategic value and growth potential, warranting close consideration for any forward-looking technology portfolio.

How to buy ASML stock in Singapore?

Buying ASML stock online is increasingly simple and secure, especially when using a regulated broker in Singapore. Investors have two main approaches: direct (spot) buying of shares for long-term ownership, or trading ASML via Contracts for Difference (CFDs), which enables short-term speculative strategies with leverage. Both methods can be executed conveniently through online broker platforms, which prioritise the safety of funds and compliance with MAS regulations. Below, we explain the differences between spot buying and CFDs, and provide practical examples to help you choose the best approach. A comprehensive broker comparison is available further down the page.

Spot Buying

Spot (or cash) buying involves purchasing ASML shares outright on a stock exchange—such as the NASDAQ—in your name, making you a direct shareholder entitled to dividends and corporate actions. Most Singapore brokers charge a fixed commission per order, typically in the range of SGD 5–15, plus a minor fee for foreign currency conversion.

Example

If the ASML share price is US$708.03, with SGD to USD at 1.35, US$1,000 ≈ SGD 1,350. With a SGD 5 brokerage fee, you can buy around 1.41 ASML shares (US$1,000 / US$708.03 ≈ 1.41), accounting for the small commission.

Gain scenario

Suppose ASML rises by 10%. Your 1.41 shares now total US$1,100 (US$1,000 × 1.10).
Result: +US$100 gross gain, or +10% on your investment (before currency and minor fees).

Trading via CFD

CFDs (Contracts for Difference) allow you to speculate on ASML’s price movement without owning actual shares. CFD trading supports both rising and falling markets and offers leverage (borrowed capital for greater exposure). With most Singapore brokers, you pay a “spread” (the difference between buy/sell prices), plus an overnight financing fee (for holding leveraged positions overnight).

Example

You open a CFD position on ASML for US$1,000 with 5× leverage. This means you control US$5,000 worth of ASML exposure.

Gain scenario

If ASML rises by 8%, your position gains 8% × 5 = 40%. That’s a gross profit of US$400 on your US$1,000 outlay (excluding spread and overnight fees).

Final Advice

Before investing in ASML, compare broker fees, commissions, leverage, and platform features—these can significantly affect your returns. Your optimal method depends on your investment horizon and risk appetite: cash buying favours long-term growth and dividends, while CFD trading suits active investors seeking to amplify gains (but with higher risk). For specific fee comparisons and platform features, check the broker comparator further down this page.

Our 7 tips for buying ASML stock

The latest news about ASML

ASML’s Q1 2025 results exceeded expectations with strong profits and robust guidance for the year. On April 16, 2025, ASML reported total net sales of €7.7 billion and a gross margin of 54%, both at or above the upper end of their guidance, alongside a net income of €2.4 billion and an EPS jump to €6.00—an impressive 93% year-on-year rise. The company also maintained a positive outlook for Q2 and full year 2025, suggesting sales between €30 billion and €35 billion and gross margins in the low 50% range. These results and forecasts indicate that demand for ASML’s advanced lithography equipment, notably driven by the AI boom, remains resilient, supporting confidence in the stock despite broader sector volatility. Professional investors in Singapore, especially those with tech sector allocations, would find these numbers positive, as they underscore stable earnings from a key supplier in global semiconductor value chains.

ASML’s deployment of next-generation High-NA EUV systems signals continued technological leadership. In Q1 2025, ASML shipped its fifth High-NA EUV system, with these state-of-the-art machines now in use at three customer sites. This technological milestone cements ASML's virtual monopoly over critical chipmaking tools needed to produce cutting-edge semiconductors. For Singapore’s electronics and semiconductor ecosystem—which includes major foundries, research hubs, and downstream device makers—ASML’s ability to deliver the latest manufacturing technology internationally helps maintain the competitiveness of its local industry partners and supports broader regional supply chain resilience.

Singapore institutional and retail investors remain engaged via NASDAQ and Euronext trading, with analyst consensus bullish on ASML. As of May 9, 2025, ASML is widely accessible for Singapore-based investors through both NASDAQ and Euronext Amsterdam, supporting local portfolio diversification in global technology hardware. The analyst consensus remains a “Buy,” with 43 analysts covering the stock and an average price target of $898.83 (representing a potential upside of 27% from current levels). Coupled with a healthy dividend of €6.40 per OS for 2024 and an active share buyback program (€2.7 billion in Q1 2025), this underscores confidence in ASML’s long-term prospects, which is particularly relevant for Singapore’s large base of institutional and high-net-worth investors with strategic interests in global semiconductor trends.

The regional relevance of ASML is underscored by direct business presence and key customer partnerships in Southeast Asia. ASML maintains a strong regional footprint, including local offices and service centers in Singapore, which is a semiconductor manufacturing and logistics hub. The company’s advanced systems support the operations of regional fabs, several of which are managed or supplied by multinational corporations with significant manufacturing bases in Singapore and the broader ASEAN region. This embedded presence means positive developments in ASML’s business directly enhance local technical capacity and are closely followed by Singaporean industry stakeholders, both in the public and private sectors.

Macro and regulatory headwinds—especially tariff uncertainty—remain, but sectoral tailwinds provide a positive bias. While recent tariff announcements have created a more uncertain macro environment and ASML management continues to flag geopolitical and cyclical industry risks, the company’s central role in the AI and digitalization-driven expansion of the semiconductor sector remains uncontested. For Singapore-based analysts, this backdrop demands continued vigilance, but as of the last week, no material regulatory or supply chain disruption specifically affecting Singapore or Southeast Asia has been reported. As such, positive earnings momentum and robust technology leadership outweigh current risks for most investment horizons.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.