Following a strong earnings report from its largest customer, ASML’s share price rose approximately 7% in the trading session, propelling the company’s market capitalization past 450 billion euros. This marks the third time a European company has reached a valuation above the half-trillion euro threshold. Year-to-date in 2026, ASML shares have rallied by 25%, driven by accelerating AI chip investment and ongoing demand for extreme ultraviolet (EUV) lithography systems.

Morgan Stanley reiterated its bullish outlook, projecting a potential 70% increase from current levels under a scenario of continued tech valuation expansion and stronger-than-expected profitability, implying a valuation target of 2 000 euros per share. RBC Capital initiated coverage with an Outperform rating and set a forecast of 1 550 euros, citing sustained hyperscale capital spending, tight memory supply and growing high-bandwidth memory adoption as key tailwinds for ASML’s tool shipments over the next 18–24 months.

Taiwan Semiconductor Manufacturing Co.’s decision to raise its 2026 capital expenditure plan to between 52 billion and 56 billion dollars—well above consensus estimates—provides a direct catalyst for ASML’s order intake. Bank of America analysts noted that this elevated spending should drive near-term upside for ASML’s EUV and advanced deposition equipment as chipmakers seek greater efficiency to support burgeoning AI workloads.

ASML continues to advance its High-Numerical Aperture (High-NA) EUV platform, which is expected to replace multi-pattern deep ultraviolet processes for sub-2 nanometer logic and DRAM production. Industry forecasts suggest that High-NA adoption could begin ramping in select fabs by late 2026, potentially unlocking new revenue streams and reinforcing ASML’s technological moat in the most advanced nodes.