Company profile · ASML

ASML

Semiconductor lithography equipment

EXCEPTIONAL CLASS OF 2026 5/5

Exceptional Company Series

Passes all five structural tests and clears our elevated bar on both the strength of the business today and the consistency of its earnings record. An assessment of business quality, not a buy signal — exceptional can also be expensive. Why → · About the series →

The one-minute version

ASML makes the machines that make advanced chips possible — extreme ultraviolet lithography systems with no real competitor, sold to every leading-edge chipmaker on earth. The strongest business of the candidates on paper (28.5% EPS growth, 35.4% return on capital), but the price has run well ahead of the earnings line, which is a valuation question rather than a business one. A second read of the balance sheet flags it as a near-miss rather than a clean pass, not yet resolved.

The five structural tests

4/5
Compounding AbilityRevenue +15.6%, EPS +28.4%
Earnings QualityFCF/NI 111%
Balance Sheet StrengthReported interest expense too small to give a meaningful ratio
Capital Allocation35.4% return on capital
Per-Share Value CreationFCF/share +15.7%/yr, 3y

Trajectory: improving ↑ — EPS grew 28.4% over the latest reported year, against -1.5% the year before. The rate of growth is rising, not just the earnings.

The compounding record

20.8%EPS CAGR, 11 yrs
76%Yearly comparisons up
21%Worst earnings drawdown
29.4%Net margin
0.14×Net debt / equity

The same five measures for every company in the series, so any two can be read against each other.

Why the economics are exceptional

Earnings, twelve years

$0$2$5$8$102014201620182020202220242026 · $32.01

Weakest point: 2016, 21% off the prior peak. Source: Legend, from company filings and market data, as at 31 August 2026.

Front page of the ASML fact sheet

Exceptional Company Series

ASML — the two-page fact sheet

Everything on this page, laid out to be read in one sitting or printed: what the business is, the five structural tests, twelve years of earnings, and the honest risk list. No valuation and no price target — the same rule as the writing.

Download the PDF ↓

PDF · 2 pages · 167 KB · a point-in-time snapshot, not a live document

Published1,986.87366.022021-09-072026-09-04

Closing price, USD — not a valuation, not real-time. As of 2026-09-08.

Published 2026-08-31: Makes the machines that make advanced chips possible, with no real competitor at the leading edge. No article yet -- a candidate profile, not a series member.

Sector
Technology
Industry
Semiconductor Equipment & Materials
Head office
Netherlands Map: Veldhoven, Netherlands
Employees
43,938
Market cap (as of 2026-09-08)
USD 658,685,427,712
Return on equity (as of 2026-09-08)
+53.9%
P/E (trailing)
58.1×
Profit margin
30.1%
Dividend yield
0.53%
Beta (5y monthly, vs S&P 500)
1.36
52-week range
786.75 – 1,999.96 USD
Website
asml.com
Growth (YoY, market data)
Revenue +21.3% · EPS +28.5%

See it on the coverage map →

Where this sits

Every company here is put through the same five structural tests. A small number clear all five and stay clear — those are the Exceptional Company Series. The rest are on the same map, each saying in its own words what it passed and what it did not.

New pieces go out by email — and by ear

One company at a time, put through the same five structural tests. No trading alerts, no model portfolio, no urgency — in your inbox or your podcast feed.