Prediction: ASML Stock Could Surge 70%, According to a Wall Street Analyst

• Morgan Stanley believes that ASML could treble its net successful 2027 arsenic compared to 2025 levels.

• The Dutch chipmaking instrumentality elephantine could so execute specified coagulated maturation acknowledgment to accrued capex by cardinal semiconductor manufacturers.

• 10 stocks we similar amended than ASML ›

ASML Holding (NASDAQ: ASML) banal has been connected a red-hot tally connected the marketplace implicit the past year, rising an awesome 75% arsenic compared to the 47% gains clocked by the PHLX Semiconductor Sector scale during this period.

The bully quality is that ASML is apt to prolong its momentum going guardant arsenic well. After all, the Dutch semiconductor bellwether plays a captious relation successful the planetary spot manufacture with its utmost ultraviolet (EUV) lithography machines, which assistance its customers manufacture precocious chips susceptible of delivering beardown computing show with precocious powerfulness efficiency.

The chips manufactured with ASML's machines are present successful precocious demand, chiefly driven by their usage successful artificial quality (AI) applications. Importantly, that request is present to stay, according to concern slope Morgan Stanley, perchance paving the mode for much upside successful ASML stock.

Let's spot wherefore Morgan Stanley believes that ASML's banal marketplace rally is apt to continue.

Morgan Stanley points retired that the summation successful semiconductor manufacturing capableness by chipmakers and foundries to conscionable the booming request for AI chips could nonstop ASML banal up by 70%. The concern bank's bull lawsuit is driven by continued concern successful foundry and representation manufacturing capacity, markets wherever request exceeds supply.

Analysts astatine Morgan Stanley foretell that ASML's net per stock could astir treble by 2027 arsenic compared to past year. It is casual to spot wherefore the concern slope is truthful upbeat astir ASML's prospects. After all, semiconductor foundry elephantine Taiwan Semiconductor Manufacturing (NYSE: TSM) has conscionable announced that it volition beryllium ramping up its superior spending by 32% successful 2026 to $54 cardinal based connected the midpoint of its guidance range.

The Taiwan-based elephantine is going to allocate 70% to 80% of its 2026 superior expenditure (capex) this twelvemonth toward shoring up the accumulation of chips based connected precocious process nodes, which are chips that are 7-nanometer (nm) oregon little successful size. ASML is the lone institution that manufactures the EUV machines susceptible of producing specified precocious chips

Similarly, determination is simply a terrible shortage of representation chips, driven by steadfast request for high-bandwidth representation (HBM) utilized successful AI information halfway accelerators. This is compelling representation manufacturers similar Micron Technology to physique much facilities. Micron is readying to walk $20 cardinal successful capex successful the existent fiscal year, a 45% summation implicit past year.