ASML.MI - ASML Holding N.V.

Milan - Milan Delayed price. Currency in EUR
245.30
-12.70 (-4.92%)
At close: 4:24PM CET
Stock chart is not supported by your current browser
Previous close258.00
Open244.00
Bid0.00 x 0
Ask0.00 x 0
Day's range244.00 - 245.30
52-week range158.72 - 293.65
Volume41
Avg. volume95
Market cap103.544B
Beta (5Y monthly)1.10
PE ratio (TTM)39.89
EPS (TTM)N/A
Earnings dateN/A
Forward dividend & yield4.50 (1.72%)
Ex-dividend date24 Apr 2020
1y target estN/A
  • Is ASML Holding N.V.'s (AMS:ASML) 21% ROE Better Than Average?
    Simply Wall St.

    Is ASML Holding N.V.'s (AMS:ASML) 21% ROE Better Than Average?

    One of the best investments we can make is in our own knowledge and skill set. With that in mind, this article will...

  • Reuters - UK Focus

    LIVE MARKETS-Italian banking M&A is getting real!

    You can share your thoughts with Thyagaraju Adinarayan (thyagaraju.adinarayan@tr.com), Joice Alves (joice.alves@tr.com), Julien Ponthus (julien.ponthus@tr.com) in London and Danilo Masoni (danilo.masoni@tr.com) in Milan. It looks Italian banking M&A is finally happening after the country's top lender Intesa Sanpaolo launched a surprise 4.9 billion euro bid for rival UBI Banca.

  • Tech Investors Jolted by Apple Pin Hopes on a Fast Turnaround
    Bloomberg

    Tech Investors Jolted by Apple Pin Hopes on a Fast Turnaround

    (Bloomberg) -- Tech stock futures fell as traders worked to price in the impact of a revenue shortfall at a company responsible for more than a tenth of the S&P 500’s gain over the last year.While Apple Inc. described the impact of the coronavirus on its sales as “temporary,” slips among big tech companies sit uneasily with investors who have watched many stocks soar 50% or more over the past 12 months. The iPhone maker has a 12% weighting in the Nasdaq 100 Index, which closed last week at 29.4 times annual earnings, the highest in a decade.“This will be an important test,” said Jason Browne, president of Alexis Investment Partners. “Obviously, Apple is a huge weight in major indexes, and one of the most loved companies by investors. That may help as it has generally been better to buy Apple on setbacks than to sell, especially if the market expects the disruption to be temporary.”March contracts on the S&P 500 fell 0.4% as of 8:06 a.m. in London. Futures on the Nasdaq 100 lost 0.9%. Exchange trading of individual U.S. shares has been closed since Friday for the Presidents’ Day holiday. Both the tech-heavy Nasdaq and Apple itself are already up more than 10% in 2020, after an 86% rally in Apple last year pushed the gauge to its best performance since 2009.In a Monday release, Apple said it doesn’t expect to meet its revenue guidance for the March quarter due to work slowdowns and lower demand caused by the outbreak of novel coronavirus in China. The company had forecast revenue of $63 billion to $67 billion for the fiscal second quarter ending in March. Analysts on average estimated $65.23 billion.Equity traders face a difficult task in determining how much of the weakness is specific to Apple and whether to project the shortfall on the broader market. The company has always been likely to fare worse, given how much of its supply chain and consumer market are in China. At the same time, the sales warning is one of the most tangible examples of impact on a U.S. company and Apple’s size makes it capable of swaying indexes by itself.“My gut says I think the market probably expects this to some extent, and we know this market tends to look through things pretty well,” said Nathan Thooft, Manulife Asset Management’s head of global asset allocation. “People had anticipation that some of these companies would be affected by what was going on there and they certainly knew there were closures and supply chain issues.”While no rally is straight up, the one that has swollen Apple’s market value by as much as $545 billion since early August comes close, with only three down weeks in 21. The iPhone maker received 18% of its revenue from China in fiscal year 2019, data compiled by Bloomberg show, enough to keep analysts worried about the longer-term consequences of the outbreak.Apple’s news will have ramifications for a long list of semiconductors and other suppliers around the world. Its announcement came hours after Dow Jones reported that President Trump’s administration is considering new trade restrictions that would limit the use of U.S. equipment to produce chips for China’s Huawei Technologies Co.European equities opened lower on Tuesday, led by technology shares as the Stoxx 600 Technology Index fell as much as 1.6%. Semiconductor stocks tumbled, with ASML Holding NV falling 2.3%, STMicroelectronics NV dropping 2.6% and Infineon Technologies AG retreating 2.3%.“Of all the big companies exposed to China, this announcement seemed the most inevitable,” Michael Antonelli, managing director and market strategist at Robert W. Baird & Co, said by email. “What will this do to the market? It will remind investors that the risks surrounding the coronavirus are still unknown and unquantifiable. There will likely be an increase in volatility this week.”Apple’s most famous profit warning came in November 2018 amid the U.S. stock market’s worst stretch since the financial crisis. Its shares tumbled 7.1% on Nov. 2, 2018, after Apple reported stagnant iPhone sales and forecast revenue for the holiday quarter that fell short of Wall Street expectations at the midpoint. The Nasdaq 100 lost 1.5% that day.“We’ve been getting nothing but headlines about the virus for weeks. Starbucks is closing its stores, Caterpillar is shutting its facilities. Company after company has been saying this,” Jim Paulsen, chief investment strategist at Leuthold Group, said by phone. “We have been expecting bad sales headlines, this isn’t good, but it’s not surprising.”To contact the reporters on this story: Sarah Ponczek in New York at sponczek2@bloomberg.net;Elena Popina in New York at epopina@bloomberg.net;Catherine Larkin in Chicago at clarkin4@bloomberg.netTo contact the editors responsible for this story: Jeremy Herron at jherron8@bloomberg.net, Chris NagiFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • We Think ASML Holding (AMS:ASML) Can Stay On Top Of Its Debt
    Simply Wall St.

    We Think ASML Holding (AMS:ASML) Can Stay On Top Of Its Debt

    David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

  • Reuters - UK Focus

    US STOCKS-Tech sector pushes the S&P 500 to slight gain

    Technology shares led the S&P 500 marginally higher on Wednesday, as a healthy forecast from IBM helped mitigate worries over the developing coronavirus outbreak. The S&P 500 and the Nasdaq closed barely in the black after approaching, then backing down from record highs the day after virus fears prompted a sell-off. The Dow closed nominally lower.

  • Reuters - UK Focus

    US STOCKS-S&P 500, Nasdaq on track for record closing highs

    Tech shares led all three major U.S. stock averages into the black, with the S&P 500 and the Nasdaq setting a course to notch new record closing highs, the day after virus fears prompted a sell-off. Streaming pioneer Neftlix Inc acknowledged stiffer competition in the United States, where quarterly growth fell short of analyst estimates.

  • Reuters - UK Focus

    LIVE MARKETS-Closing snapshot: Change of heart

    * European shares little changed * DAX flat after hitting new record peak * Worries over spreading Coronavirus ease * Italian banks fall on fresh political uncertainty * S&P 500, Nasdaq aim for record on IBM earnings Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Danilo Masoni.

  • Reuters - UK Focus

    LIVE MARKETS-Autos decoupling from DAX: a trade war put option?

    * European shares little changed * DAX flat after hitting new record peak * Worries over spreading Coronavirus ease * Italian banks fall on fresh political uncertainty * S&P 500, Nasdaq aim for record on IBM earnings Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Danilo Masoni. Barclays anticipates better days ahead for earnings in 2020 rather than the actual Q4 numbers and overall, it says you shouldn't expect much of a boost in share prices from the results as the U-shaped recovery has been largely priced in.

  • Reuters - UK Focus

    LIVE MARKETS-Ponzi Market?

    * European shares little changed * DAX flat after hitting new record peak * Worries over spreading Coronavirus ease * Italian banks fall on fresh political uncertainty * S&P 500, Nasdaq aim for record on IBM earnings Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Danilo Masoni. Reach him on Messenger to share your thoughts on market moves: danilo.masoni.thomsonreuters.com@reuters.net PONZI MARKET? In a note titled, "Global Central Banks Fuelling a Ponzi Market a Ponzi Market", Guggenheim Investments CIO Scott Minerd says the only reason investors keep adding to risk is the fear that prices will be higher tomorrow.

  • Reuters - UK Focus

    LIVE MARKETS-Trade truce: much ado about nothing

    * European shares little changed after higher open higher * DAX flat after hitting new record peak * Worries over spreading Coronavirus ease * Italian banks fall on fresh political uncertainty * S&P 500, Nasdaq aim for record on IBM earnings Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Danilo Masoni. Reach him on Messenger to share your thoughts on market moves: danilo.masoni.thomsonreuters.com@reuters.net TRADE TRUCE: MUCH ADO ABOUT NOTHING (1429 GMT) How would you react if you were told that the trade truce between U.S. and China would at best boost global trade for this year by just $20 billion (that's much lesser than how much Apple grew its revenue last year)?

  • Bloomberg

    ASML Chief Dismisses U.S., China Tensions as a Headache

    (Bloomberg) -- ASML Holding NV’s top executive brushed off concerns about tensions between the U.S. and China, a market that’s growing in importance to the Dutch chip gear-maker.“Someone needs to make those chips and to make those chips you would need EUV, and there is basically only one place where they can get it,” Chief Executive Officer Peter Wennink said in an interview with Bloomberg Radio, referring to its advanced lithography equipment. “For our total business it doesn’t really matter.“ASML, which has a monopoly on advanced lithography equipment needed to make next-generation chips, is already a crucial supplier to Samsung Electronics Co. and Taiwan Semiconductor Manufacturing Co. but hopes to drive deeper into China. Beijing wants to build a world-class homegrown chip industry to wean itself off foreign imports -- an effort that would need ASML’s one-of-a-kind machines. Yet it’s faced difficulty getting the Dutch government to renew a license to export to China amid ongoing trade tensions.ASML shares rose 0.2% at 1:14 p.m. in Amsterdam trading.“It’s up to the Dutch government to determine whether there is a national security risk and of course there are views in the U.S. and China whether that’s a risk,” Wennink said, adding that the company has responded to requests for information from the Dutch government.Asked whether he was optimistic about obtaining the license, Wennink said “the Dutch government takes very due care when it concerns the facts and the circumstances.”Read more: China Stockpiles U.S. Chips as ‘Silicon Curtain’ DescendsChina relies on imported chip manufacturing equipment for its audacious ambition of creating a self-reliant semiconductor industry, which supplies key components for a wide spectrum of electronics from smartphones to satellites. ASML is an essential link in that plan, which will drive Chinese purchases of more than $30 billion of semiconductor equipment between 2020 and 2021, according to industry organization SEMI. China’s Ministry of Foreign Affairs said in a statement last week the Netherlands should make an objective decision on ASML’s exports based on its own interests.U.S. PressureEuropean businesses have been caught in the middle of trade tensions between the U.S. and China, even as Washington and Beijing last week sealed the first phase of a trade deal. But the U.S. still maintains tariffs on roughly two-thirds of imports from China and both sides still need to negotiate the pact’s second phase, with discussions expected to be difficult.U.S. officials have urged allies to scrutinize business ties with Beijing, invoking concerns around national security and espionage. The White House, concerned about China’s ambitions to dominate a swath of technology from AI to semiconductors, has sought ways to contain the country’s rise. China, meanwhile, has threatened European countries with retaliation on trade if its companies are shunned.European telecom operators are among those squeezed between the two major world powers after Washington called on European governments to exclude Huawei Technologies Co.’s equipment from the build-out of their 5G networks.The Dutch government has held back on renewing the license ASML needs to export its extreme ultraviolet lithography machines under pressure from U.S. officials, Reuters reported this month. That equipment is key to any chipmaker that wants to fabricate next-generation chips, say of 7 nanometer or lower nodes.Last week, U.S. ambassador to the Netherlands Pete Hoekstra told Dutch newspaper Het Financieele Dagblad that ASML’s technology “doesn’t belong in certain places,” suggesting China. The Chinese ambassador, Xu Hong, had warned days earlier in the same paper that the relationship between the Netherlands and China was at risk if the government blocks EUV machine exports.For its part, the Netherlands says it will take its own decision on the matter, independent of foreign influence. “They are free to express their view and we take note of that, but it is not decisive,” Dutch Prime Minister Mark Rutte said of the U.S. and Chinese ambassadors’ comments last week.ASML’s EUV technology has both civilian and military applications and therefore is subject to EU dual-use licensing obligations under the Wassenaar Arrangement, according to the Dutch Foreign Ministry.EUV LicenseWennink said at a press conference the Dutch government had asked the company questions about the EUV technology, how it works, and who the customer is. The level of detail the government is seeking “is probably more than they would normally do,” he said.The delay in getting the EUV license has “zero” impact on the company’s business, he said. The licensing issue concerns their first-ever EUV order from a customer in China, where few companies are at the stage of ordering the cutting-edge technology. ASML mostly ships the machines, which cost roughly 150 million euros, to the U.S., Korea and Taiwan.The company forecast first-quarter sales largely in line with analyst expectations and said it won orders for nine more of its EUV lithography machines in the last quarter. The Dutch company said it expects sales of 3.1 billion euros ($3.4 billion) to 3.3 billion euros for the first quarter, compared with an average estimate of 3.26 billion euros.ASML also announced a share buy-back program of as much as 6 billion euros over three years, as it said it expects to win 4.5 billion euros in EUV revenue this year.(Updates with CEO comments from the 15th paragraph)\--With assistance from Joost Akkermans and Gao Yuan.To contact the reporters on this story: Ellen Proper in Amsterdam at eproper@bloomberg.net;Natalia Drozdiak in Brussels at ndrozdiak1@bloomberg.netTo contact the editors responsible for this story: Edwin Chan at echan273@bloomberg.net, Amy ThomsonFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Reuters - UK Focus

    LIVE MARKETS-Italy risks are back but don't worry too much

    * European shares open higher; DAX hits new record peak * Worries over spreading Coronavirus ease * Italian banks fall on fresh political uncertainty * S&P 500, Nasdaq futures also touch new record high * Asian shares up, investors welcome China virus response Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Danilo Masoni. Risks of an early election handing power to right-wing leader Matteo Salvini look small and some investors see the drop in Italian assets as a possible buying opportunity.

  • Reuters - UK Focus

    LIVE MARKETS-Tesla vrooms past VW to become no. 2

    * European shares open higher; DAX hits new record peak * Worries over spreading Coronavirus ease * Asian shares up, investors welcome China virus response Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Danilo Masoni. 2 (1038 GMT) One hundred billion dollars (purposely spelled out) -- that's what Tesla is expected to be worth when U.S. markets open later today, dethroning car behemoth Volkswagen to become the world's second-biggest automaker by market cap. "The rise in the value of Tesla tells us little about the health of the car market (modest in the U.S., weaker in Germany and China), but a lot about investor behaviour and the state of banking," says Mike O'Sullivan, author and ex-CIO at Credit Suisse IWM.

  • Reuters - UK Focus

    LIVE MARKETS-Did you spot the stealth STOXX 600 record high?

    * Asian shares up, investors welcome China virus response Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Danilo Masoni.

  • Reuters - UK Focus

    LIVE MARKETS-Opening snapshot: new peak for the DAX - confirmed

    * Asian shares up, investors welcome China virus response Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Danilo Masoni. Expectations tech could get support from IBM results and the update from ASML didn't prove fully true however. The index is up just 0.2%, weighed down by a 2% slide in Prosus after e-commerce group Naspers sold a stake in its subsidiary, while ASML is also down as its Q1 2020 sales guidance disappointed.

  • Reuters - UK Focus

    REFILE-LIVE MARKETS-Closing snapshot: It's not FOMO

    Reach him on Messenger to share your thoughts on market moves: danilo.masoni.thomsonreuters.com@reuters.net CLOSING SNAPSHOT: IT'S NOT FOMO (1641 GMT) That's right, it's not Fear Of Missing Out, it's actually a Habit Of Missing Out for the STOXX 600, which ends the session up 0.19%, just one point from its record of 421.43 hit on January 9. YTD, the U.S. index is comfortably ahead of its European cousin with a rise of 2.3% versus 1.1% for the STOXX 600. The Dow Jones decided to keep celebrating the signing of the US-China ‘phase one’ trade deal, with momentum firmly on the index’s side.

  • Reuters - UK Focus

    LIVE MARKETS-STOXX 600 missing out again

    * European shares little changed * Wall Street posts new records * Results drive top movers: Pearson tanks, Hellofresh rallies * Welcome to the home for real-time coverage of European equity markets brought to you by Reuters stocks reporters and anchored today by Danilo Masoni. Reach him on Messenger to share your thoughts on market moves: danilo.masoni.thomsonreuters.com@reuters.net STOXX 600 MISSING OUT AGAIN (1604 GMT) There's a party and the STOXX 600 isn't invited. While Wall Street is celebrating the trade deal, Morgan Stanley's fresh earnings and positive retail data with new record highs, the STOXX 600 is missing out again.

  • The $150 Million Machine With $200 Billion at Stake for China
    Bloomberg

    The $150 Million Machine With $200 Billion at Stake for China

    (Bloomberg Opinion) -- Huawei Technologies Co. has become very much the U.S.’s whipping boy in the battle to nip China’s technological ascendancy in the bud. President Donald Trump’s administration has slapped sanctions and curbs on the Shenzhen-based company and lobbied allies to do the same. Last month growing resistance against Huawei among lawmakers in Germany’s governing coalition sparked threats of retaliation from the Chinese ambassador. But what’s happening next door in the Netherlands has higher stakes for China. There, Beijing’s envoy this week said there will be negative consequences if the Dutch continue to block the export of a single piece of high-tech manufacturing equipment made by ASML Holding NV. According to Reuters, the U.S. has exerted pressure to prevent the sale to a Chinese firm. But it’s not just any machine. It’s a $150 million state-of-the-art apparatus that could ensure Moore’s Law — which says that processing power doubles every 18 months — continues apace, and the microchips powering our smartphones, computers and networks get ever smaller.Like with Huawei, U.S. Secretary of State Mike Pompeo cited intelligence concerns, though Reuters didn’t specify what they are. The Hague subsequently rescinded an export license it had previously granted for the machine.Any individual nation state cutting Huawei, the world’s largest networking business, out of the supply chain for its 5G networks will of course be a blow to the Chinese firm. But the impact on China as a whole will be limited. Beijing will still be able to build its own next-generation telecommunication networks, and losing a few exports will have a minor effect on the economy as a whole. Huawei’s sales in Europe, the Middle East and Africa totaled $31 billion in 2018.A ban on buying machines from ASML is potentially far more significant, because it will hinder China’s ambitious goals to strengthen its super high-tech manufacturing industry.As far as tech giants go, ASML doesn’t have the global brand cachet of an Apple Inc., Samsung Electronics Co. or Amazon.com Inc. That’s partly because its products are two steps removed from the electronic devices that reside in consumers’ pockets, on their desktops or in their living rooms: ASML builds the machines that make the semiconductors that go into their devices. But it’s one of Europe’s biggest three technology companies, and its top customers include chipmakers Intel Corp., Samsung and Taiwan Semiconductor Manufacturing Co., which is known as TSMC and makes chips for Apple and Huawei alike.The Dutch firm stands out from rivals Nikon Corp. and Canon Inc. because it’s alone in having mastered an approach known as extreme ultraviolet lithography, which is needed for the manufacture of the next generation of chips. Lithography is the process by which circuit patterns are etched onto silicon wafers, and the EUV process will allow the printing of circuits that are more than 10 times smaller than the current standard.QuicktakeHow Chinese Technology Grew to Rival Silicon ValleySo you can see why China would be particularly interested in using ASML’s equipment. Although the country is a hub of electronics manufacturing, much of that is simply assembling iPhones, laptops, smart speakers and the like. The underlying tech is often imported, including some $200 billion-worth of semiconductors each year.Beijing wants to reduce that dependence on imports by investing $150 billion over a decade in an effort to take the lead in technology design and manufacturing. Access to machines made by ASML will be essential to achieving that. By the end of next year, as much as half of TSMC’s revenue will depend at least partly on some EUV processes, according to Bloomberg Intelligence analyst Masahiro Wakasugi. That could be $18 billion worth of chips. TSMC said on Thursday that its deployment of EUV machines was on schedule, advancing at a similar rate to earlier technologies, as it reported earnings that exceeded analyst expectations.While it could take a decade and more than one EUV machine for Chinese firms such as Semiconductor Manufacturing International Corp. to rival that, that is clearly the long-term goal. (SMIC is reportedly the company that placed the order at the heart of the current spat.)Dutch newspaper Het Financieele Dagblad reported last year that ASML was the target of theft by a rival with ties to the Chinese state, though the company later said that any “suggestion that we were somehow victim of a national conspiracy is wrong.” Chief Executive Officer Peter Wennink surely doesn’t want to lose China’s business: It’s ASML’s fastest-growing market.What makes the Dutch move so remarkable is that the U.S. can only unilaterally block sales abroad if components or R&D contributions originating domestically exceed 25% for the relevant product. Here, it seems to have succeeded in leaning on the Dutch government to prevent the sale even though, according to press reports, ASML’s extreme ultraviolet lithography machine doesn’t meet that test. An even greater risk would be that other important suppliers of underlying technology follow suit, whether under U.S. duress or not.(Adds TSMC comment on latest technology in fourth-to-last paragraph.)\--With assistance from Tim Culpan.To contact the author of this story: Alex Webb at awebb25@bloomberg.netTo contact the editor responsible for this story: Melissa Pozsgay at mpozsgay@bloomberg.netThis column does not necessarily reflect the opinion of Bloomberg LP and its owners.Alex Webb is a Bloomberg Opinion columnist covering Europe's technology, media and communications industries. He previously covered Apple and other technology companies for Bloomberg News in San Francisco.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • ASML Holding N.V. (AMS:ASML) Earns A Nice Return On Capital Employed
    Simply Wall St.

    ASML Holding N.V. (AMS:ASML) Earns A Nice Return On Capital Employed

    Today we'll evaluate ASML Holding N.V. (AMS:ASML) to determine whether it could have potential as an investment idea...

  • Reuters - UK Focus

    UPDATE 2-European shares jump 1% as report revives U.S.-China trade optimism

    European shares bounced back from a four-day slump on Wednesday, lifted by a report that Beijing and Washington are moving closer to a trade deal. The STOXX 600 closed 1.2% up after Bloomberg reported that the two sides were closer to agreeing on the amount of tariffs that would be rolled back in a phase one trade deal. The report lifted the benchmark from a one-month low hit on Tuesday after U.S. President Donald Trump said a deal might have to wait until after the presidential election next November.

  • Reuters - UK Focus

    UPDATE 2-European shares clock sixth weekly gain on trade cheer

    European shares clocked a sixth-straight week of gains on Friday following record highs on Wall Street after bullish comments from a White House official on U.S.-China trade talks. The pan-European STOXX 600 index rose 0.4%, close to four-year highs it hit last week, with most sectors ending in the black. White House economic adviser Larry Kudlow said late on Thursday Washington and Beijing were getting close to a trade agreement, citing what he called very constructive talks with Beijing about ending a 16-month trade war.

  • Should You Be Pleased About The CEO Pay At ASML Holding N.V.'s (AMS:ASML)
    Simply Wall St.

    Should You Be Pleased About The CEO Pay At ASML Holding N.V.'s (AMS:ASML)

    In 2013 Peter T. F. Wennink was appointed CEO of ASML Holding N.V. (AMS:ASML). First, this article will compare CEO...

  • Leading Fund Prefers Samsung to ASML as Asian Stocks Grow Cheap
    Bloomberg

    Leading Fund Prefers Samsung to ASML as Asian Stocks Grow Cheap

    (Bloomberg) -- A global equity fund manager has pared his stakes in expensive western stocks such as ASML Holding NV and now favors cheaper Asian shares including Samsung Electronics Co.The Dutch semiconductor equipment maker is a “super nice company” but was looking too pricey, said Klaus Ingemann, a portfolio manager at AllianceBernstein LP. Instead, he’s particularly bullish on Samsung, for which he sees further equity gains despite lingering concerns over stagnant DRAM chip prices.“We reduced our most expensive growth stocks,” the Ingemann said from Copenhagen. His main fund, which has assets of about $2 billion, has beaten 94% of peers over the past five years. “We have Microsoft a little in the portfolio, but some the higher-growth names in the U.S. were just too expensive. So we tried to be a little bit conservative.”Lately, Ingemann has been looking at cheaper companies in Asian nations like Japan, South Korea and Singapore. He favors a “neutral” strategy, balanced with value and growth shares with large to small market value across various sectors and regions.Shares of Samsung, South Korea’s most-valuable company, have rallied 33% this year on hopes for a recovery in global memory makers. And yet, it’s still trading at about 13 times estimated earnings for the next year, compared with 29 times for ASML.Samsung reported quarterly earnings that beat analyst estimates earlier this month and will release its detailed results Thursday.“Probably the demand is coming back in mid-next year,” Ingemann said. He expects a new smartphone cycle, 5G and re-acceleration of capital investment in cloud operations by Google and Amazon.com Inc. to be a boost. But that’s not all, he added. “There’s something interesting going on, as we see more cameras in self-driving, which will need more memory too.”To contact the reporter on this story: Heejin Kim in Seoul at hkim579@bloomberg.netTo contact the editors responsible for this story: Lianting Tu at ltu4@bloomberg.net, Kurt Schussler, Cecile VannucciFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.

By using Yahoo, you agree that we and our partners can use cookies for purposes such as customising content and advertising. See our Privacy Policy to learn more