Key Highlights
- ASML shares climbed 24.3% throughout June, propelled by industry developments rather than quarterly results
- Elon Musk endorsed ASML as Europe’s premier company and participated in its technology summit, reinforcing SpaceX’s Terafab semiconductor initiative
- Micron exceeded earnings projections and increased capital spending to $27 billion; Samsung and SK Hynix revealed a joint $520 billion investment plan
- Wells Fargo upgraded WFE sector projections to $190B for 2027 and $216B for 2028; Susquehanna forecasts a possible $300B milestone by 2028
- ASML’s July 15 earnings call anticipates EPS of $7.98 — reflecting a 75% year-over-year increase
ASML shares concluded trading at $1,769.89 on July 2, declining 3.97% that session following an exceptional June performance that delivered a 24.3% gain.
The remarkable June advance occurred without any quarterly earnings announcement from ASML itself. No financial disclosures emerged during this period. Rather, the stock benefited from a succession of encouraging developments surrounding semiconductor capital investment.
The most significant catalyst arrived early in the month when Elon Musk declared on X that “ASML should be treasured and supported. It is arguably the greatest company in Europe.” This statement preceded his trip to ASML’s facilities, coinciding with the SpaceX IPO timeline.
SpaceX’s market debut generated approximately $86 billion in capital. Industry observers expect these proceeds to finance Musk’s Terafab initiative — an ambitious semiconductor production facility jointly owned by SpaceX and Tesla. ASML’s extreme ultraviolet (EUV) lithography systems represent a critical component of this strategy.
Musk subsequently delivered remarks at ASML’s technology conference in mid-June, a gesture widely interpreted as confirmation that Terafab is progressing beyond the planning stage.
On June 24, Micron unveiled fiscal Q3 results that substantially exceeded Wall Street expectations. The memory manufacturer also elevated its capital expenditure guidance to $27 billion for the fiscal year, up from a previous $25 billion target. Micron ranks among ASML’s largest EUV equipment customers.
Memory Sector Investment Wave Provides Additional Momentum
On June’s closing day, Samsung and SK Hynix collectively unveiled $520 billion in multi-year investment plans targeting new memory fabrication facilities. This announcement reverberated throughout the semiconductor equipment industry.
All three dominant memory manufacturers — Micron, Samsung, and SK Hynix — depend on ASML’s EUV capabilities for advanced node production. Expanded manufacturing capacity translates directly into increased equipment orders.
Analyst revisions followed these announcements. Wells Fargo elevated its global wafer front-end equipment spending projection to $190 billion for 2027 and $216 billion for 2028. Current year spending tracks near $140 billion.
Susquehanna offered an even more bullish perspective, suggesting WFE expenditures could reach $300 billion by 2028. The firm highlighted potential equipment price appreciation as customers commit to premium terms for guaranteed delivery.
Considerations Before the Quarterly Report
ASML presently commands a forward P/E multiple of 50.33, exceeding the industry benchmark of 44.57. Its PEG ratio registers at 1.4, marginally above the sector norm of 1.35.
Zacks consensus projections for the complete fiscal year anticipate earnings of $36.62 per share alongside revenue of $45.35 billion — representing increases of 31% and 22.67% respectively versus 2025.
ASML maintains a Zacks Rank of #3 (Hold), though the consensus EPS projection has declined 1.29% during the previous month.
The semiconductor equipment leader announces Q2 results on July 15, 2026. Current EPS expectations stand at $7.98 — marking a 75.38% surge compared to the prior year quarter. Revenue projections call for $10.28 billion, reflecting 17.83% year-over-year expansion.
