The Dutch company's comments follow its Q3 2026 earnings report, which detailed a net profit of €4.96 billion on net sales of €11.7 billion. It projects Q4 sales of €14.2 billion to €15.2 billion ($15.9 billion to $17 billion), boosting its full-year sales projections from at least €43 billion to €44-45 billion. ASML's shares rose 2% on Wednesday, up almost 70% so far this year, with its €586 billion market valuation making it Europe's largest firm by market cap.
According to Reuters , there had been concerns that the AI investment boom was losing steam. However, positive projections from the largest manufacturer of the tools for making AI chips and advanced semiconductors signal that chipmakers will keep expanding, sustaining demand across the AI industry well into the foreseeable future. "There were concerns that the AI trade was running out of steam," Gordon Kerr, European macro strategist at KBRA, said. "Demand for chips remains strong, and infrastructure spending is likely to continue well into 2027."
ASML's customers include logic chip manufacturers such as Samsung, Intel, and TSMC, which manufactures chips for Nvidia, all of whom are heavily investing in increasing chip production . Memory chip makers SK Hynix and Micron have also announced expansion plans that involve ASML machines. Meanwhile, the company's CFO Roger Dassen said it is "still kicking the tires on the exact size of that (Terafab) opportunity," referring to Elon Musk's 100 million square feet semiconductor manufacturing facility that aims to output millions of logic and memory chips. Terafab will reportedly receive its first EUV chipmaking tool from ASML in mid-2027 .
ASML's order book reflects a wave of spending across the AI industry. As of April this year, Google , Amazon , Microsoft , and Meta reportedly collectively planned to spend $725 billion on capex in 2026 , up 77% from last year's record $410 billion. Since then, Alphabet has raised its 2026 capex guidance from $180–190 billion to $195–205 billion, Amazon from $200 billion to $220 billion, and Meta has raised the floor of its range from $125 billion to $130 billion, keeping its $145 billion ceiling. Some of the spending reflects rising chip prices, with Microsoft CFO Amy Hood attributing $25 billion of the company's record capex budget to higher prices for memory chips and other components. Still, analysts such as Gartner expect global AI spending to rise 49.5% in 2026 to $2.7 trillion and another 36.2% in 2027.
ASML says it sold 'absolutely nothing' in Europe in 2026
Key considerations
- Investor positioning can change fast
- Volatility remains possible near catalysts
- Macro rates and liquidity can dominate flows
Reference reading
- https://www.tomshardware.com/tech-industry/semiconductors/SPONSORED_LINK_URL
- https://www.tomshardware.com/tech-industry/semiconductors/asml-struggling-to-keep-up-with-demand-for-chipmaking-equipment-as-ai-spending-continues-to-boom-chipmakers-are-already-looking-to-place-orders-for-2029-and-2030-output-ceo-says-demand-could-surpass-capacity-despite-massive-expansion-plans#main
- https://www.tomshardware.com/membership
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Informational only. No financial advice. Do your own research.