ASML Holding Valuation
| ASML Stock | USD 889.03 18.58 2.05% |
At this time, the firm appears to be fairly valued. ASML Holding NV shows a prevailing Real Value of $859.31 per share. The current price of the firm is $889.03. Our model approximates the value of ASML Holding NV from analyzing the firm fundamentals such as Return On Equity of 0.6, profit margin of 0.27 %, and Operating Margin of 0.26 % as well as examining its technical indicators and probability of bankruptcy. In general, most investors favor picking up undervalued instruments and discarding overvalued instruments since, at some point future time, asset prices and their ongoing real values will blend. Key fundamental drivers impacting ASML Holding's valuation include:
Price Book 26.2666 | Enterprise Value 356.3 B | Enterprise Value Ebitda 38.2469 | Price Sales 13.9813 | Forward PE 44.0529 |
Fairly Valued
Today
Please note that ASML Holding's price fluctuation is very steady at this time. Calculation of the real value of ASML Holding NV is based on 3 months time horizon. Increasing ASML Holding's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for ASML Holding NV is useful when determining the fair value of the ASML stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of ASML Holding. Since ASML Holding is currently traded on the exchange, buyers and sellers on that exchange determine the market value of ASML Stock. However, ASML Holding's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 889.03 | Real 859.31 | Target 680.53 | Hype 892.22 |
The real value of ASML Stock, also known as its intrinsic value, is the underlying worth of ASML Holding NV Company, which is reflected in its stock price. It is based on ASML Holding's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of ASML Holding's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence ASML Holding's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of ASML Holding NV helps investors to forecast how ASML stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of ASML Holding more accurately as focusing exclusively on ASML Holding's fundamentals will not take into account other important factors: Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use ASML Holding's intrinsic value based on its ongoing forecasts of ASML Holding's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against ASML Holding's closest peers. When choosing an evaluation method for ASML Holding NV, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.
ASML Holding Investments |
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ASML Valuation Drivers Correlation
Many accounts on the financial statements of ASML Holding NV are highly interrelated and sometimes correlated. Consequently, when conducting ASML's valuation analysis, one should examine all of the accounts reported to obtain a complete picture of its financial situation. We provide a unique feature to present a conventional correlation table purposely composed against different valuation-related drivers of ASML
Click cells to compare fundamentals
ASML Valuation Trend
Knowing ASML Holding's actual value is paramount for traders to make sound investment determinations. ASML Holding's real value is not only important for the investor to make better decisions but also for a more accurate overall view of ASML Holding's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both ASML Holding's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.
ASML Market Cap
ASML Holding NV is number one stock in market capitalization category among related companies. Market capitalization of Information Technology industry is presently estimated at about 796.86 Billion. ASML Holding totals roughly 375.26 Billion in market capitalization claiming about 47% of equities under Information Technology industry.ASML Holding Valuation Ratios as Compared to Competition
Comparative valuation techniques use various fundamental indicators to help in determining ASML Holding's current stock value. Our valuation model uses many indicators to compare ASML Holding value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across ASML Holding competition to find correlations between indicators driving ASML Holding's intrinsic value. More Info.ASML Holding NV is rated third in price to earning category among related companies. It is rated second in price to book category among related companies fabricating about 0.59 of Price To Book per Price To Earning. The ratio of Price To Earning to Price To Book for ASML Holding NV is roughly 1.70 . Price To Book Ratio is expected to rise to 21.05 this year. Comparative valuation analysis is a catch-all model that can be used if you cannot value ASML Holding by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for ASML Holding's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the ASML Holding's earnings, one of the primary drivers of an investment's value.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates ASML Holding's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in ASML Holding and how it compares across the competition.
About ASML Holding Valuation
The stock valuation mechanism determines the current worth of ASML Holding NV on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of ASML Holding NV. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of ASML Holding NV based exclusively on its fundamental and basic technical indicators. By analyzing ASML Holding's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of ASML Holding's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of ASML Holding. We calculate exposure to ASML Holding's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to ASML Holding's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 14.1 B | 14.8 B | |
| Pretax Profit Margin | 0.33 | 0.35 | |
| Operating Profit Margin | 0.33 | 0.34 | |
| Net Profit Margin | 0.28 | 0.30 | |
| Gross Profit Margin | 0.51 | 0.32 |
8 Steps to conduct ASML Holding's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates ASML Holding's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct ASML Holding's valuation analysis, follow these 8 steps:- Gather financial information: Obtain ASML Holding's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine ASML Holding's revenue streams: Identify ASML Holding's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research ASML Holding's industry and market trends, including the size of the market, growth rate, and competition.
- Establish ASML Holding's growth potential: Evaluate ASML Holding's management, business model, and growth potential.
- Determine ASML Holding's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate ASML Holding's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
A single share of ASML Holding represents a small ownership stake in the entity. As a stockholder of ASML, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
ASML Holding Dividends Analysis For Valuation
At this time, ASML Holding's Dividend Yield is quite stable compared to the past year. Dividend Paid And Capex Coverage Ratio is expected to rise to 37.58 this year, although the value of Dividends Paid is projected to rise to (2.2 B). . At this time, ASML Holding's Retained Earnings are quite stable compared to the past year. Price Earnings To Growth Ratio is expected to rise to 0.89 this year, although the value of Earnings Yield will most likely fall to 0.03.
| Last Reported | Projected for Next Year | ||
| Dividends Paid | -2.3 B | -2.2 B | |
| Dividend Yield | 0.01 | 0.01 | |
| Dividend Payout Ratio | 0.30 | 0.17 | |
| Dividend Paid And Capex Coverage Ratio | 35.79 | 37.58 |
There are various types of dividends ASML Holding can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of ASML shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from ASML Holding NV directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When ASML pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of ASML Holding by the value of the dividends paid out.
ASML Holding Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as ASML Holding does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 394.1 M | |
| Quarterly Earnings Growth Y O Y | -0.372 | |
| Forward Price Earnings | 44.0529 |
ASML Holding Current Valuation Indicators
Valuation refers to the process of determining the present value of ASML Holding NV and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value ASML we look at many different elements of the entity such as ASML's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. ASML Holding's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final ASML Holding's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as ASML Holding, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use ASML Holding's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes ASML Holding's worth.When determining whether ASML Holding NV is a strong investment it is important to analyze ASML Holding's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact ASML Holding's future performance. For an informed investment choice regarding ASML Stock, refer to the following important reports: Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in ASML Holding NV. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in population. You can also try the Balance Of Power module to check stock momentum by analyzing Balance Of Power indicator and other technical ratios.
Complementary Tools for ASML Stock analysis
When running ASML Holding's price analysis, check to measure ASML Holding's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy ASML Holding is operating at the current time. Most of ASML Holding's value examination focuses on studying past and present price action to predict the probability of ASML Holding's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move ASML Holding's price. Additionally, you may evaluate how the addition of ASML Holding to your portfolios can decrease your overall portfolio volatility.
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Is ASML Holding's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of ASML Holding. If investors know ASML will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about ASML Holding listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.37) | Dividend Share 4.65 | Earnings Share 21.15 | Revenue Per Share 1.1939 | Quarterly Revenue Growth (0.22) |
The market value of ASML Holding NV is measured differently than its book value, which is the value of ASML that is recorded on the company's balance sheet. Investors also form their own opinion of ASML Holding's value that differs from its market value or its book value, called intrinsic value, which is ASML Holding's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because ASML Holding's market value can be influenced by many factors that don't directly affect ASML Holding's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between ASML Holding's value and its price as these two are different measures arrived at by different means. Investors typically determine if ASML Holding is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, ASML Holding's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.