ASML Q4 and FY25 Outlook: Buy ASML Stock Now to Stay Ahead of the Curve

ASML Holding N.V. is poised for strong revenue growth in the coming years, particularly driven by the adoption of High-NA EUV technology. As we look ahead to 2025 and 2026, I anticipate ASML's revenue to grow at an impressive rate of 15% annually. My calculation projects a price target of $1,290 for the stock, which reflects a compound annual growth rate (CAGR) of 31.5% over the next two years. Notably, this target includes a safety margin of 25%, offering potential protection against market volatility.

ASML has solidified its position as a leader in the semiconductor equipment space, especially in EUV lithography, where it holds a virtual monopoly. The company's strategic partnerships and the increasing demand fueled by artificial intelligence (AI) applications further enhance its competitive advantage. However, investors should remain aware of certain risks, including potential declines in revenue from China and ongoing geopolitical tensions surrounding Taiwan.

Knowing these factors, ASML is positioned not only as a robust growth opportunity but also as a value proposition for investors. I project ASML’s revenue to reach $39 billion in FY26, with margins stabilizing. This reinforces the idea that buying ASML stock could yield over 30% annual returns in the next two years, especially considering that risks associated with customer acceptance delays appear to be accounted for in the current stock price.

In my previous analysis of ASML Holding N.V. stock, I issued a Strong Buy rating, which has proved beneficial; since then, the stock has appreciated by 9.3%, outperforming the S&P 500 index which recorded a gain of 4.9%.

ASML, EUV, Growth