Brilliant stock rally for ASML
On Friday, ASML reached a market cap of $276.38 Bln. The share price closed above $692, which is not too far away from the ATH. Investors are now extremely happy with the winnings ASML returned for the past few months.
On the last day of October, the shares traded for $580 and in the next 1 month we saw a rapid rise with $112. This almost 20% return in such a short period of time surely made many investors a lot richer! The price is now above both the long term 200 day and short term 20 day moving average. Bulls are clearly in control and their buying activity is lifting the prices higher.
This interest is clearly driven by the strong financial performance of the company. The revenue is $28.79 Bln and it has been growing every year for the past 8 consecutive years. The P/E is 32.9, which is much higher than most of the direct competitors. This however is not bad, because high P/E is also a very strong indication that the shares are extremely positively accepted by the investment community. Traders love ASML, they believe the firm will be returning even more profits in the future, and this is why the P/E is high. ASML has an operating margin of 34.36% which is more than most of its direct competitors and this is another reason why stock traders love this company.
Our team of analysts have an idea about ASML’s next price move. Please join our Premium service to see our preferred direction.
Disclaimer: Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. SharesDealing does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. SharesDealing and the author will not be held responsible for this information.
SharesDealing and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. SharesDealing and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and SharesDealing are not registered investment advisors and nothing in this article is intended to be investment advice.
