ASML: Is the Stock a Buy as Demand for EUV Lithography Machines Soars?

One of the most important but sometimes overlooked companies on the planet is semiconductor equipment maker ASML (NASDAQ: ASML). It has a practical monopoly on extreme ultraviolet (EUV) lithography technology, as no other company has been able to build such equipment. Without ASML's machines, there would not only not be artificial intelligence (AI), but we also wouldn't have the chips that power our smartphones. And with demand for those EUV machines booming, the stock looks like a buy.ASML's EUV machines are key to the manufacture of both advanced logic chips (such as graphics processing units)  and high bandwidth memory (HBM). With demand for both of those types of chips outpacing supply, chipmakers are building more chip fabs, and as a result, demand for ASML's equipment is jumping. In response, it too plans to increase its manufacturing capacity.The company said that orders for its EUV machines were already close to accounting for its full manufacturing capacity through next year, even after plans to increase its output by 30%. Management is also looking into increasing its capacity by an additional 30% in 2028.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool