ASML Holding N.V.NASDAQ
ASML: Triple EPS Guidance Implies 20-50% Upside For 2015 ADR Shares
Fri, Nov. 18, 12:37 PM
- Large-cap names with 5x their normal volume:
- ASML Holding (ASML +1.7%)
- The Gap (GPS -16.5%)
- Mid-caps with 5x their normal volume:
- HRG Group (HRG +3.8%)
- Grand Canyon Education (LOPE -0.1%)
- Marvell Tech (MRVL +8.8%)
- Nuance Communication (NUAN +9.6%)
- Post Holdings (POST -2.1%)
- Regal Entertainment (RGC -2.2%)
- ViaSat (VSAT +4.9%)
Thu, Nov. 3, 2:46 PM
- ASML Holding will register a resulting 24.9% position in Carl Zeiss SMT.
- Future generation of extreme ultraviolet lithography (EUV) systems development main focus of arrangement. Projected due within first years of next decade.
- Additional terms involve ASML supporting Carl Zeiss SMT's R&D at €220M and a commitment of €540B for capital expenditures and other supply chain investments over the next six years.
- Accretion to earnings expected at ASML, with funding for the deal to stem from available cash and potential debt supplementation.
- Projected to fully close in Q2 2017.
- ASML (NASDAQ:ASML) president and CEO Peter Wennink: "In 2018 the first chips made on current technology EUV scanners are expected to roll off the production lines of our customers. A lot of work is still being done to ensure the introduction of EUV in volume manufacturing, in tight conjunction with our highly successful immersion scanners which we continue to improve. Yet ASML and ZEISS are looking beyond this important milestone. We see a long and successful future for EUV lithography in advanced chip manufacturing and with this agreement we set the right conditions for development of the next generation of EUV by ASML and Carl Zeiss SMT, so that our customers can reap the rewards of their EUV investments up to the end of the next decade."
- ZEISS president and CEO Michael Kaschke: "With this agreement we clear the road for advanced lithography to support the new concepts and designs for future generations of advanced chips. After the many years of fruitful partnership, we see this agreement as a further strong endorsement of our long term cooperation which allows us to further expand our joint leadership that we have already accomplished together."
Wed, Oct. 19, 6:34 AM
Tue, Oct. 18, 5:30 PM
Sun, Sep. 18, 8:51 AM
- As it grapples with a massive global smartphone recall that is estimated to cost more than $1B, Samsung Electronics (OTC:SSNLF) is moving swiftly to sell stakes in other tech companies to raise cash.
- The Korean firm said Sunday it disposed of shares in ASML, Seagate (NASDAQ:STX), Rambus (NASDAQ:RMBS) and Sharp (OTCPK:SHCAY).
- Total proceeds from the sales exceeded 1T won ($889M).
Tue, Aug. 2, 4:57 AM
- Credit Suisse (NYSE:CS) and Deutsche Bank (NYSE:DB) will be dropped from the Stoxx Europe 50 index (NYSEARCA:FEU) next Monday and replaced with ASML Holding (NASDAQ:ASML) and Vinci (OTCPK:VCISY).
- The move follows a more than 45% slump in shares of both Credit Suisse and Deutsche Bank so far this year.
- CS -4.3%; DB -2.8% premarket
Mon, Aug. 1, 4:32 PM
Wed, Jul. 20, 5:56 AM
Tue, Jul. 19, 5:30 PM
Thu, Jun. 16, 2:40 AM
- Dutch chipmaking equipment firm ASML Holdings (NASDAQ:ASML) has agreed to buy Taiwan's Hermes Microvision for about T$100B ($3.1B).
- The transaction is the latest consolidation in the global semiconductor industry, which is facing an increasingly saturated smartphone market - once a key growth driver - as well as the emergence of deep-pocketed Chinese players.
Fri, May 20, 10:56 AM
- Lam Research (LRCX +4.1%), KLA-Tencor (KLAC +2.3%), ASML (ASML +2.2%), Axcelis (ACLS +3.9%), Kulicke & Soffa (KLIC +3%), Ultratech (UTEK +3.5%), Teradyne (TER +2.3%), Rudolph Technologies (RTEC +2.6%), and Xcerra (XCRA +2.7%) are outperforming after Applied Materials (AMAT +13.2%) beat FQ2 estimates, provided FQ3 guidance that was well above consensus, and reported FQ2 orders rose 52% Q/Q and 37% Y/Y to $3.45B. The Nasdaq is up 1.2%.
- Applied's order growth was fueled in large part by display equipment orders totaling $700M, up sharply from $183M in the prior quarter and $120M a year ago. On its earnings call, AMAT said display order strength is likely to continue "over the rest of 2016," and is being driven by mobile-related OLED investments - many reports have indicated Apple plans to bring iPhones sporting OLEDs to market next year.
- OLED materials/IP provider Universal Display (OLED +5.2%) is rallying. As are display panel makers LG Display (LPL +6.5%) and AU Optronics (AUO +3.2%), each of which have been stepping up their OLED investments, and industrial laser maker Coherent (COHR +2.5%), which has recently seen an OLED-related order surge.
- Also: Applied's NAND flash-related orders more than doubled Y/Y to nearly $1B thanks to its customers' 3D NAND investments. That more than offset softer DRAM and foundry-related chip equipment demand. On the call, Applied suggested NAND orders will slow a bit in the second half of FY16, but remain strong overall. Foundry demand is expected to grow somewhat this year, with Applied gaining share. Industry wafer fab equipment demand is expected to be flat to slightly up.
- B. Riley has upgraded Applied to Buy, and several firms have hiked their targets. Cowen's Tim Arcuri thinks $3 in annual EPS is now possible. Credit Suisse's Farhan Ahmad: "AMAT is clearly outgrowing peers this year, driven by favourable mix shift within WFE (NAND/Foundry increasing, DRAM declining) and strong growth in Display (China/OLED investments)."
Wed, Apr. 20, 5:41 AM
- ASML Holding (NASDAQ:ASML): Q1 EPS of €0.46
- Revenue of €1.33B (-19.4% Y/Y)
- Shares +1.28% PM.
Tue, Apr. 19, 5:30 PM
Fri, Feb. 19, 12:25 PM
- Lam Research (LRCX +4%), KLA-Tencor (KLAC +2.2%), ASML (ASML +2.6%), Axcelis (ACLS +3.9%), Rudolph Technology (RTEC +2.3%) and Xcerra (XCRA +4.9%) have caught sympathy bids after chip equipment giant Applied Materials (AMAT +9.4%) slightly beat FQ1 estimates and (more importantly) issued strong FQ2 guidance. The Nasdaq is up 0.3%.
- Applied's numbers come after Lam and ASML forecast demand would pick up in calendar Q2 following a soft Q1. On its earnings call (transcript), Applied forecast the wafer fab equipment (WFE) market would be roughly flat in 2016 - Gartner forecast a 2.5% drop in January, followed by 8.1% growth in 2017 and 9.1% growth in 2018.
- 2016 outlook: NAND flash equipment spend is expected to be up ~25% Y/Y in 2016 thanks to 3D NAND investments; DRAM spend is expected to drop ~20%, and logic spend be roughly flat. CFO Robert Halliday: "We do believe that the first half is a little bit more weighted to NAND, whereas the second half is more weighted to stronger performance in foundry, logic and DRAM. So we do see a stronger second half." Applied expects to gain WFE share in 2016, aided by strong 3D NAND and 10nm process positions.
- Orders: Not surprisingly (given soft near-term demand), Applied's chip equipment orders fell in FQ1, dropping 11% Y/Y to $1.28B. However, services orders rose 12% to $773M, and display orders (boosted by OLED equipment demand) rose 71% to $183M. Energy/environmental (solar) orders fell 12% to $44M. (earnings release)
- Needham's Edwin Mok has upgraded Applied to Buy, with a $22 target. "We believe AMAT's strategy and efforts to drive growth in the Silicon, Display and [global services] businesses are finally starting to yield results, even with limited industry growth ahead. With improving gross margins and good cost control ahead, we now expect the model to deliver strong, double-digit-% earnings growth in 2-3 years, even though it is trading largely in line with other large-cap Semi names."
- Update: In other news, Lam Research and KLA-Tencor shareholders have each approved the companies' planned merger. The deal is still expected to close in mid-2016.
Fri, Jan. 22, 1:22 PM
- Believing a strong backlog and relatively low macro exposure will buffer shares and that EUV system progress is healthy, Deutsche's Robert Sanders has upgraded ASML to Hold. His target is $80.
- Sanders: "ASML shares are down 26% since an all-time high in May, underperforming tech by 15%. Expectations have become more realistic on the pace and strength of EUV introduction, while progress has been solid. As we enter the final phase, we still believe that risks of delays remain. However, until the next major catalyst (likely in July), we see ASML benefiting from anticipation of good news around EUV."
- The upgrade comes two days after ASML posted mixed Q4 results, issued light Q1 guidance, forecast a strong Q2 demand pickup, and announced major new capital returns. With the help of rebounding equity markets, shares are up 13% since the Q4 report arrived.
Wed, Jan. 20, 6:18 PM
- With the help of an afternoon market rebound, ASML rallied above $85 after beating dollar-based Q4 EPS estimates, slightly missing on revenue, and announcing a 50% dividend hike and €1B ($1.09B) buyback authorization hike.
- Q1 sales guidance of €1.3B ($1.42B) is below a $1.67B consensus, and gross margin is expected to drop to 42% from Q4's 46%. But the Dutch lithography equipment giant promises sales will "increase significantly" in Q2, aided by immersion tool shipments to logic customers in support of their 10nm process ramps.
- Cowen's Tim Arcuri (Outperform rating) isn't worried about the light Q1 outlook. "we see this as a transitory event given orders were pretty solid exiting CQ4 (backlog highest since Q1:11) and CQ2:16 revenue is expected to ramp materially from CQ1 levels as 10nm at INTC and TSMC ramp ... ASML did not provide a full-year 2016 guide, similar to last year, but it did indicate that more foundry fabs will be accepting equipment in CY16 vs. previous plans. We think orders and shipments should grind higher from 10nm ramps and modest contribution from 3D NAND that should be at least partially offset by DRAM."
- Semiconductor Advisors' Robert Maire: "Logic is expected to pick up as the 3 leaders, Intel, Samsung and TSMC all will likely ramp 10nm in a similar time period ... Everyone is concerned about gross margins in the low forties but the company brushed off concerns as gross margins being primarily related to low factory utilization. Mix may also be a bit of an issue."
- Regarding its closely-watched EUV efforts, ASML insists it "met its 2015 [EUV] productivity and availability targets." The company aims to ship 6-7 EUV systems in 2016; ASML shipped two NXE 3350B EUV systems in 2015, and began shipping a third.
- ASML's Q4 results, earnings release