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ASML (ASML) Outpaces Stock Market Gains: What You Should Know

ASML (ASML) closed the most recent trading day at $674.09, moving +0.34% from the previous trading session. This change outpaced the S&P 500's 0.15% gain on the day.

Coming into today, shares of the equipment supplier to semiconductor makers had gained 6.8% in the past month. In that same time, the Computer and Technology sector lost 0.49%, while the S&P 500 gained 0.58%.

Investors will be hoping for strength from ASML as it approaches its next earnings release. The company is expected to report EPS of $2.89, up 46.7% from the prior-year quarter.

ASML's full-year Zacks Consensus Estimates are calling for earnings of $15.27 per share and revenue of $21.85 billion. These results would represent year-over-year changes of +57.59% and +36.12%, respectively.

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Investors should also note any recent changes to analyst estimates for ASML. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.64% higher. ASML is holding a Zacks Rank of #1 (Strong Buy) right now.

Digging into valuation, ASML currently has a Forward P/E ratio of 44. This valuation marks a premium compared to its industry's average Forward P/E of 22.74.

We can also see that ASML currently has a PEG ratio of 1.48. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Semiconductor Equipment - Wafer Fabrication stocks are, on average, holding a PEG ratio of 1.18 based on yesterday's closing prices.

The Semiconductor Equipment - Wafer Fabrication industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 8, which puts it in the top 4% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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