Here’s Why ASML Holding N.V. (ASML) Is Among the Stocks with Best Earnings Growth for the Next 3 Years

ASML Holding N.V. (NASDAQ:ASML) is among the stocks with the best earnings growth for the next 3 years. 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.

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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.

While we acknowledge the risk and potential of ASML as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than ASML and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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