5 Best Performing Semiconductor Stocks of 2021

In this article, we discuss the 5 best performing semiconductor stocks of 2021. If you want to read our detailed analysis of these stocks, go directly to the 10 Best Performing Semiconductor Stocks of 2021.

5. ASML Holding N.V. (NASDAQ:ASML)

Number of Hedge Fund Holders: 41  

Year-To-Date Gain: 64%  

ASML Holding N.V. (NASDAQ:ASML) makes and sells advanced semiconductor equipment systems. Earlier this year, the company had secured a deal worth $4.3 billion with SK Hynix, the second-largest chipmaker in the world, to provide the latter with secure extreme ultraviolet scanners.

In September, ASML Holding N.V. (NASDAQ:ASML) had forecast that it would reach between €24 billion and €30 billion in revenue within the next three years with margins above 50% amid a profitable and innovative ecosystem in the electronics industry. 

Among the hedge funds being tracked by Insider Monkey, Washington-based investment firm Fisher Asset Management is a leading shareholder in ASML Holding N.V. (NASDAQ:ASML) with 4 million shares worth more than $3 billion. 

In its Q2 2021 investor letter, Polen Capital, an asset management firm, highlighted a few stocks and ASML Holding N.V. (NASDAQ:ASML) was one of them. Here is what the fund said:

“Dutch technology company ASML is the world’s only supplier of photolithography systems to leading-edge semiconductor manufacturers. It is a gross simplification and a valid point to note that ASML’s technology enables the computing technology we use today. For years, ASML engineers bent the laws of physics and enabled Moore’s Law—which states that computer chips will become faster and cost less—to progress.

Incremental innovation gains mushroomed with the rollout of Extreme Ultraviolet (EUV) technology. We were impressed by management’s recent acknowledgment that demand for ASML’s lithography systems is exceeding their prior expectations. Recent announcements by management and major customers for ASML give us even more confidence in the sustainability of growth. We believe ASML could grow its earnings at a high-teens rate over the coming five years.”