Can ASML sustain its earnings momentum into next year?
3/28/2025 04:43pm
**ASML's likelihood of sustaining its earnings momentum into next year appears favorable**, considering the following points:
1. **Current Earnings Momentum**: ASML is expected to post earnings of $6.12 per share for the current quarter, indicating a year-over-year growth of 81.07%. For the full year, the consensus estimates project earnings growth of 21.85%.
2. **Revenue Growth Prospects**: The revenue forecast for the current quarter is $8.08 billion, suggesting a 40.65% increase year-over-year. For the full year, the projected revenue is $34.34 billion, indicating a 12.41% increase.
3. **Market Sentiment and Analyst Optimism**: Analysts are optimistic about ASML's future, as evidenced by revisions to earnings estimates, which have changed positively over the last 30 days. The Zacks Rank, which incorporates these estimate alterations, has a track record of exceeding expectations.
4. **Long-Term Growth Outlook**: ASML's long-term growth outlook is strong, with the company expecting global semiconductor sales to exceed $1 trillion by 2030. The company's high-NA EUV machines, essential for printing advanced chips, have created a significant market opportunity.
5. **Financial Performance and Market Position**: ASML's commitment to sustainability and innovation and its unique position in the semiconductor supply chain, with no direct competitors for its lithography machines, position it well for sustained growth.
In conclusion, ASML's robust earnings momentum, positive analyst sentiment, and strategic positioning in the semiconductor industry suggest that it is well-poised to sustain its earnings growth into next year.