![\"A](\"https:\/\/www.europesays.com\/netherlands\/wp-content\/uploads\/2026\/06\/e12fc2d60678e2322e851b3955ad6cfd.jpeg\")
Image source: Getty Images. <\/p>\n
ASML’s EUV systems, which cost $200 million to $400 million, require multiple planes to ship. As a linchpin of the global semiconductor industry, it has tremendous pricing power and an impenetrable moat. That’s why its gross margin rose from 48.6% in 2020 to 52.8% in 2025.<\/p>\n
From 2020 to 2025, its revenue and EPS grew at CAGRs of 18% and 24%, respectively. It achieved that growth even as the pandemic, supply chain disruptions, inflation, rising interest rates, geopolitical conflicts, and other macro headwinds rattled the global economy.<\/p>\n
ASML kept growing because the world’s top foundries must keep installing its lithography systems to stay competitive. In the past, its growth was pegged to the semiconductor market<\/a>‘s boom-and-bust cycles. But over the past few years, its growth has been driven by surging demand for GPUs, memory chips, and custom networking chips in the booming AI market<\/a>.<\/p>\n All of those chipmakers need to use ASML’s EUV systems — whether at their third-party foundries or first-party plants — to manufacture their smallest and densest chips. That makes ASML one of the easiest ways to profit from the semiconductor sector’s long-term expansion without investing too heavily in a single chipmaker. It also makes ASML an evergreen stock.<\/p>\n Why won’t I sell my ASML shares? <\/p>\n From 2025 to 2028, analysts expect ASML’s revenue and EPS to grow at CAGRs of 18% and 27%, respectively, as the AI boom continues. It will sell more of its newest high-NA EUV systems, which are used to produce the world’s most powerful chips, as well as a steady stream of its older low-NA EUV systems and deep ultraviolet (DUV) systems for mature nodes.<\/p>\n ASML’s stock isn’t cheap at 39 times next year’s earnings. However, it’s consistently traded above 30 times forward earnings since my first purchase more than five years ago — presumably because its monopolization of the EUV market justifies a higher valuation. I won’t sell my shares unless that bullish thesis changes.<\/p>\n Should you buy stock in ASML right now? <\/p>\n Before you buy stock in ASML, consider this:<\/p>\n The Motley Fool Stock Advisor analyst team just identified what they believe are the\u00a010 best stocks<\/a> for investors to buy now\u2026 and ASML wasn\u2019t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.<\/p>\n Consider when Netflix made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation,\u00a0you\u2019d have $417,305!* Or when Nvidia made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you\u2019d have $1,293,148!*<\/p>\n Now, it\u2019s worth noting\u00a0Stock Advisor\u2019s total average return is 936% \u2014 a market-crushing outperformance compared to 209% for the S&P 500.\u00a0Don’t miss the latest top 10 list, available with\u00a0Stock Advisor, and join an investing community built by individual investors for individual investors.<\/p>\n See the 10 stocks \u00bb<\/a><\/p>\n *Stock Advisor returns as of June 22, 2026. <\/p>\n Leo Sun<\/a> has positions in ASML. The Motley Fool has positions in and recommends ASML and Taiwan Semiconductor Manufacturing. The Motley Fool has a disclosure policy<\/a>.<\/p>\n