ASML shares surge 5.30% on TSMC's raised capex guidance

ASML Holding NV’s shares surged over 5.3% in pre-market trading on January 16, 2026, driven by renewed optimism in the semiconductor sector. The rally followed Taiwan Semiconductor Manufacturing Co. (TSMC) raising its 2026 capital expenditure guidance to $52–56 billion, well above market expectations of $46 billion. The move signaled robust demand for advanced AI chips, positioning ASML to benefit from increased orders for its cutting-edge lithography equipment.

TSMC, a key client for ASML, highlighted its investment plans as a response to sustained AI-driven demand. Analysts noted that the spending boost reflects growing confidence in the semiconductor supply chain, with TSMC manufacturing chips for major clients like Nvidia and Apple. While some caution that construction timelines for chipmaking facilities may lag demand, the upward revision in TSMC’s capex underscores long-term growth potential for equipment suppliers like ASML.

ASML’s performance aligns with broader industry momentum, as memory producers and other chipmakers also signaled expanded investments tied to AI workloads. The stock’s pre-market jump preceded its January 28 earnings report, with analysts suggesting TSMC’s updated outlook could support a stronger trajectory for ASML beyond 2026.