ASML Stock Drops 10% Over Two Days as UBS Downgrade Sparks Sell-Off

ASML (ASML) experienced a significant drop of 4.01%, marking the second consecutive day of decline and bringing the two-day decrease to 10.22%.

Within the European STOXX 600 index's technology sector, notable declines included Alten falling by 6.01%, ASML Holding and ASM International experiencing declines of up to 5.93%, Bechtle and Soitec dropping by as much as 4.18%, and Infineon, Logitech, Temenos Group, and Reply falling up to 3.82%. SAP and Aixtron from Germany both decreased by about 2.3%. Among the few gainers, AMS Osram rose by less than 1.0%, Scout24 AG increased by 1.72%, and Fortnox advanced by 3.45%.

On September 4th, UBS downgraded ASML from a "buy" rating to "neutral". In related developments, ASML's stock also fell nearly 5% after UBS revised its target price for the company from 1,050 euros to 900 euros.

ASML's mid-year report for 2024, released on July 17th, revealed the company's revenue up to June 30th was 11.533 billion euros, with a net profit of 2.802 billion euros and a basic earnings per share of 7.12 euros.

Established in the Netherlands in 1994, ASML Holding N.V. is recognized as a world-leading supplier of advanced technological systems for the semiconductor industry, primarily known for its lithography systems. These systems are integral in manufacturing complex integrated circuits, commonly referred to as semiconductors or chips. ASML supplies lithography systems to integrated circuit manufacturers across Asia, the United States, and Europe while also providing comprehensive advanced process and product application support to its clients.