Skip to navigationSkip to main contentSkip to right columnADVERTISEMENTRicardo PillaiSun, June 7, 2026 at 6:49 PM GMT+2 3 min readIs ASML a good stock to buy? We came across a bullish thesis on ASML Holding N.V. on Elliot’s Musings’s Substack by Elliot. In this article, we will summarize the bulls’ thesis on ASML. ASML Holding N.V.'s share was trading at $1,612.76 as of May 29th. ASML’s trailing and forward P/E were 53.68 and 44.44 respectively according to Yahoo Finance.Photo by Yogesh Phuyal on UnsplashASML Holding N.V. provides lithography solutions for the development, production, marketing, sales, upgrading, and servicing of advanced semiconductor equipment systems. ASML delivered a strong first quarter of 2026 that reinforced the long-term investment case despite a negative market reaction driven by short-term margin concerns. Revenue increased 13% year-over-year, gross margin reached 53%, and Installed Base Management (IBM), the company’s highly profitable software and services segment, grew 24% to €2.5 billion.Read More: 15 AI Stocks That Are Quietly Making Investors RichRead More: Undervalued AI Stock Poised For Massive Gains: 10000% Upside PotentialMost importantly, management raised full-year 2026 revenue guidance to €36-40 billion from €30-35 billion, reflecting stronger-than-expected demand and the resolution of immersion lithography supply constraints. The quarter highlighted ASML’s unique positioning at the center of the artificial intelligence semiconductor buildout, with demand now being supported by three independent growth drivers: advanced logic production, accelerating DRAM adoption of EUV lithography, and a growing installed-base upgrade cycle.Memory represented 51% of system sales during the quarter, and management described the DRAM market as a “perfect storm” for ASML as both capacity additions and EUV layer adoption increase simultaneously. Looking further ahead, management raised its 2027 EUV capacity target to at least 80 systems, confirmed higher average selling prices for future EUV tools, and strongly hinted that its long-term Capital Markets Day revenue framework may prove too conservative. While investors focused on second-quarter gross margin guidance of 51-52%, which drove the stock down roughly 5%, the more significant development was the structural improvement in revenue potential and demand visibility.The company continues to benefit from a monopoly position in advanced lithography, growing software-driven recurring revenue, and expanding customer investment across logic and memory markets. If management’s assumptions prove correct, ASML appears positioned to exceed previous long-term expectations, with fiscal 2027 revenue potentially reaching €42-48 billion and the company’s 2030 outlook ultimately moving materially higher.Terms and Privacy PolicyPrivacy & Cookie SettingsMore Info