Shares of ASML, a leading semiconductor equipment supplier, saw an uptick of 0.32% to $574.53 recently, outperforming the S&P 500 index despite a 14.2% loss in the past month.
ASML has been trading at a high P/E ratio relative to near-term earnings growth, according to InvestingPro Tips. The firm is slated to report earnings per share (EPS) of $5.13 on October 18, 2023, marking a year-on-year growth of 18.75%. Notably, ASML’s forward price-to-earnings (P/E) ratio stands at 26.41, surpassing the industry average.
According to InvestingPro’s real-time metrics, ASML’s adjusted P/E ratio for the last twelve months up to Q2 2023 is 30.89, slightly higher than the forward P/E ratio. The company’s Price/Earnings to Growth (PEG) ratio is currently pegged at 1.09, while the same metric for the last twelve months up to Q2 2023 is 1.39, indicating strong growth potential.
InvestingPro’s data forecasts robust figures for the company in their full year showing a revenue growth of 34.73% for the last twelve months up to Q2 2023 and a quarterly revenue growth of 27.10% for Q2 2023.
Moreover, ASML operates with a high return on assets, another InvestingPro Tip that highlights the company’s efficient use of its assets to generate profits. The Return on Assets for the last twelve months up to Q2 2023 was 19.79%, according to InvestingPro’s data.
Looking ahead, ASML is expected to witness significant year-on-year changes in earnings and revenue, with estimated increases of 45.67% and 32.2% respectively. These projections reflect optimism about the company’s future performance amid a challenging market environment.
According to InvestingPro Tips, ASML’s performance has also featured a strong return over the previous five years. According to InvestingPro’s data, the company’s one-year price total return was 31.36% as of Y2023.D271.