ASML Holding (ENXTAM:ASML) Gains On TSMC Demand Signal, Is The Stock Now Too Expensive? - Yahoo Finance

ASML Holding (ENXTAM:ASML) has seen its stock rise significantly following a strong revenue update from Taiwan Semiconductor Manufacturing (TSMC), sparking debate over whether the company is now overv... Read original →

ASML’s stock surge follows strong demand signals from Taiwan Semiconductor Manufacturing, but its valuation now exceeds fair value. EUV lithography is critical for advanced chip production, especially AI chips, driving ASML’s revenue as TSMC scales 3nm manufacturing. However, export controls on China, Taiwan, China, are constraining ASML’s access to key markets, increasing supply chain risks. Competitors like Nikon and Canon are advancing next-gen tools, posing a threat to ASML’s dominance. In the next 12–24 months, slowing AI infrastructure investment and chip demand volatility may pressure ASML’s performance, pushing valuation back to sustainable levels.