Should You Now Consider Acquiring ASML Holding (ASML) Shares?

Baron Funds, an asset management company, released its “Baron Opportunity Fund” second quarter 2022 investor letter. A copy of the same can be downloaded here. Baron Opportunity Fund (the “Fund”) fell sharply and significantly lagged the broader market during the second quarter and first half of the year. For the quarterly period, the Fund dropped 26.96% (Institutional Shares), trailing the Russell 3000 Growth Index, which fell 20.83%, and the S&P 500 Index, which declined 16.10%. Go over the fund’s top 5 positions to have a glimpse of its finest picks for 2022.

In its Q2 2022 investor letter, Baron Opportunity Fund mentioned COMPANY and explained its insights for the company. Founded in 1984, ASML Holding N.V. (NASDAQ:ASML) is a Veldhoven, Netherlands-based semiconductor company with a $180.8 billion market capitalization. ASML Holding N.V. (NASDAQ:ASML) delivered a -41.98% return since the beginning of the year, while its 12-month returns are down by -45.95%. The stock closed at $461.96 per share on September 20, 2022.

Here is what Baron Opportunity Fund has to say about ASML Holding N.V. (NASDAQ:ASML) in its Q2 2022 investor letter:

ASML Holding N.V. designs and manufactures semiconductor production equipment. It specializes in photolithography equipment, where light sources are used to photo-reactively create patterns on wafers that become printed circuits. ASML is the dominant leader across all types of lithography but, most importantly, is the only company selling equipment for extreme ultra-violet (EUV) lithography, the latest generation technology.

Indeed, because of the stalling out of Moore’s Law, advanced lithography of larger and multi-patterned silicon chips has been critical for leading-edge chip manufacturing and continued improvement in semiconductor chip performance over time. The company is well positioned to continue growing above industry rates as it rapidly adds capacity across its entire business to meet rising industry demand, especially from leading-edge customers continuing to invest to stay ahead of their competitors and drive chip performance forward.

Additionally, the introduction of high-NA EUV technology in the middle of the decade will add another leg to the growth opportunity.”



Our calculations show that ASML Holding N.V. (NASDAQ:ASML) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. ASML Holding N.V. (NASDAQ:ASML) was in 47 hedge fund portfolios at the end of the second quarter of 2022, compared to 46 funds in the previous quarter. ASML Holding N.V. (NASDAQ:ASML) delivered a -6.55% return in the past 3 months.

Earlier, we also shared another an article that mentioned ASML Holding N.V. (NASDAQ:ASML) in the 10 Best Stocks to Buy Now According to Billionaire Chris Rokos. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q2 page.

Disclosure: None. This article is originally published at Insider Monkey.