ASML shares surge 5.37% driven by TSMC's AI chip demand boost

ASML Holding NV shares rose 5.3714% in pre-market trading on Jan. 16, 2026, driven by optimism over client demand and the AI semiconductor cycle.

The surge followed TSMC’s updated 2026 capital expenditure plans, which now target $52–$56 billion—surpassing previous estimates of $46 billion. The foundry attributed the increase to robust orders for advanced AI chips, directly benefiting ASML as the key supplier of extreme ultraviolet (EUV) lithography systems critical for next-generation manufacturing.

Analysts highlighted that the spending boost reinforces a multi-year growth trajectory for equipment providers, though construction timelines may lag demand. ASML’s rally aligns with broader sector confidence, as TSMC’s plans underscore the durability of the AI-driven semiconductor cycle.

The company’s Q4 earnings and 2026 guidance are expected to reflect sustained growth into 2027, with current market expectations already priced into its valuation.

Given the strong technical indicators and capital allocation focus from TSMC, investors are eyeing ASML's upcoming earnings report as a key barometer of the sector's health.