5 Stocks with Best Earnings Growth for the Next 3 Years

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

Number of Hedge Fund Holders: 133

On June 4, Barclays lifted the price target on ASML Holding N.V. (NASDAQ:ASML) to EUR 1,900 from EUR 1,575 and reaffirmed an Overweight rating. The analyst believes that the company’s demand continues to expand, saying that hiring data strengthens capacity, with the ramp-up already underway at key supplier Zeiss. Having said that, the firm’s forecasts surpass consensus estimates for 2027 and 2028.

Didier Scemama, an analyst at BofA, views the company’s extreme ultraviolet lithography capacity to extend beyond 90 units by 2027. This is mainly because of lead time and assembly efficiencies. While seeing China demand rebound in the next year, the analyst boosted the price target on ASML Holding N.V. (NASDAQ:ASML) to EUR 1,921 from EUR 1,710 and reiterated a Buy rating on the same day.

Although the company has downside potential based on the 1-year median price target, ASML Holding N.V. (NASDAQ:ASML) has continuously outperformed the benchmark over the last five years. This, along with its strong ROE (ttm) of 52.24%, makes ASML one of the stocks with the best earnings growth for the upcoming 3 years.

ASML Holding N.V. (NASDAQ:ASML) is a Netherlands-based lithography solutions provider for advanced semiconductor equipment systems. Founded in 1984, the giant’s core offerings include lithography, metrology, and inspection systems.