ASML

Bernstein SocGen Group upgraded ASML's stock rating from Market Perform to Outperform, significantly raising its price target to €1,300 from €800. This positive endorsement from Bernstein reflects confidence in ASML's growth prospects, driven by the upcoming DRAM super cycle and strong AI chip demand. The upgrade supports ASML's current AI-driven order momentum and highlights the company's strategic positioning in the semiconductor equipment market.

The upgrade comes amid expectations of a DRAM super cycle, with the top three DRAM manufacturers planning to add up to 250,000 wafers per month in greenfield capacity in 2026. Bernstein's analysis indicates that DRAM manufacturers are accelerating node migration to 1c, which features 28% lithography intensity, significantly higher than previous nodes’ 20-24%, creating favorable conditions for ASML’s equipment demand. This is further supported by the expanding 3nm capacity at TSMC, expected to reach 180-200,000 wafers per month, driven by AI demand.

The semiconductor trade was riding high on Monday, January 5, 2026, amid enthusiasm for the artificial intelligence boom. Companies such as Applied Materials, Lam Research, and KLA saw significant gains, reflecting the strong data-center build-out and the need for more equipment to support the expanding semiconductor capacity. ASML, being a dominant supplier of lithography equipment, is well-positioned to benefit from this trend.

ASML's stock hit a fresh record high after the Bernstein upgrade, signaling strong market reaction to the brokerage call and reinforcing investor confidence in the company's growth potential. The stock's performance reflects the market's belief in ASML's ability to capitalize on the favorable conditions in the semiconductor industry.