Surging Server CPU Demand Lifts TSMC CoWoS Forecasts, ASML Stock Gains 5.6%
ASML•Mizuho raised TSMC’s 2H 2026 CoWoS capacity projections due to a surge in server CPU orders, signaling heavier demand for advanced packaging equipment. The forecast upgrade on June 30 drove ASML shares up 5.65% in US trading as investors priced in increased EUV lithography orders.
1. Forecast Revision
On June 30, Mizuho increased its 2H 2026 CoWoS capacity projections for TSMC to reflect robust server CPU demand, signaling a potential rise in advanced packaging throughput.
2. ASML Stock Reaction
The forecast drove ASML shares up 5.65% in US trading, indicating investor optimism around expected orders for EUV and immersion lithography systems used in CoWoS production.
3. Demand Drivers
Strong uptake of AI and cloud computing chips is accelerating server CPU orders, pushing foundries to expand chip-on-wafer-on-substrate capacity and seek more lithography tools from suppliers like ASML.
4. Outlook
Continued momentum in server CPU deployments could translate into multi-quarter order growth for ASML’s lithography segment, with order visibility through 2026 now trending higher.
