ASML (ASML) Remains Long-Term Semiconductor Giant Despite Near-Term Earnings Miss

ASML Holding N.V. (NASDAQ:ASML) is one of the must-buy semiconductor stocks to invest in. ASML Holding N.V. (NASDAQ:ASML) received a Hold rating from Kempen & Co, which also raised its price target to €700, roughly $761 for U.S. shares, implying about 8% upside from the current price of $704.78. While the downgrade signals some near-term caution, the revised target reflects continued confidence in ASML’s strategic positioning and long-term growth potential.

A technician in a clean room working on a semiconductor device, illuminated by the machines.

The call comes shortly after ASML reported quarterly earnings that fell short of expectations, driven by weaker order intake and softer near-term demand. However, the results are widely seen as reflective of cyclical timing rather than any erosion of ASML’s core competitive edge. As the world’s sole supplier of extreme ultraviolet (EUV) lithography machines, ASML remains central to the most advanced semiconductor manufacturing processes.

Despite near-term headwinds, the company is poised to benefit from structural tailwinds in AI, high-performance computing, and global re-shoring of chip production. With leading foundries like TSMC and Intel continuing to ramp up capacity for next-generation nodes, ASML’s tools will remain indispensable. For investors with a long-term view, the stock still represents a unique and essential exposure to the technological backbone of the semiconductor industry.

READ NEXT: 10 Best SaaS Stocks to Buy According to Analysts and 10 Most Profitable Consumer Stocks to Buy Now.

Disclosure: None.