ASML Holding N.V. - ADS represents 1 ordinary share (ASML) Company Bio
ASML Holding NV engages in the development, production, marketing, sale, and servicing of advanced semiconductor equipment systems with a focus on lithography related systems worldwide. The company was founded in 1984 and is based in Veldhoven, the Netherlands.
ASML Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Asml Holding Nv with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Asml Holding Nv ranked in the 29th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. As for the metrics that stood out in our discounted cash flow analysis of Asml Holding Nv, consider:
Interest coverage, a measure of earnings relative to interest payments, is 106.95; that's higher than 93.05% of US stocks in the Technology sector that have positive free cash flow.
The business' balance sheet suggests that 3% of the company's capital is sourced from debt; this is greater than just 11.63% of the free cash flow producing stocks we're observing.
ASML's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 47.21% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Technology that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as ASML, try FICO, BR, EEFT, NXGN, and PAYC.
ASML (ASML) has been one of my favorite investments as the company boasts a combination of a highly advanced technology and product coupled with a strong demand profile for its products and a capable management that knows how to approach the business. However, since reporting Q2 earnings, shares of ASML...
Dhierin Bechai on Seeking Alpha | September 28, 2020
The trade war between the U.S. and China has been multifaceted. What started as a strategy to reduce the deficit of bilateral trade, it has morphed into a battle over unfair trade practices for technology, IP (intellectual property) theft, and prevention in the growth of China’s military strength. On May...
Robert Castellano on Seeking Alpha | September 2, 2020
Shares worldwide skidded further on Friday as a pickup in U.S. and European business activity did little to ease jitters about rising U.S.-China tensions, while gold broke above $1,900 an ounce on its march toward a record high. In a tit-for-tat move, Beijing ordered Washington to close the U.S. consulate in Chengdu in retaliation for China being told earlier this week to shut its consulate in Houston. Data showing business activity in the euro zone returned to growth failed to cheer investors.