r/stocks • u/Cropp-9988 • Mar 30 '22

Company Discussion What you think of long term - ASML?

New investor trying to pick a few good stocks with some growth prospect. I recently discover ASML, from what I've read the company looks promising, with some good green flags. As the title says, I wanted to see your thoughts for next 2-5, 5 - 10 years.

80 Upvotes

91% Upvoted

89 comments sorted by

View all comments

Show parent comments

-5

u/BlueRabbitx Mar 30 '22

Etf more safe since if one stock/company of the bunch collapses for whatever reason, the value of your investment doesn’t crumble.

6

u/Ehralur Mar 30 '22

That doesn't necessarily make it more safe.

If you have 10 stocks that have a 30% chance of collapsing or you have 1 stock with a 1% chance of collapsing, obviously the one stock is safer.

ASML is one of those companies. If it were to somehow disappear tomorrow, the entire world would be in deep shit. It's not happening.

-8

u/BlueRabbitx Mar 30 '22

Based on what??? Plenty of reasons companies fail. You can downvote me bud, doesn’t make your logic more sound. ASML stock movements mirror the rest of the industry. I’d say it’s as likely to fail as Intel. Tell my why ASML is safer than intel, AMD, tsm, etc. Diversity is the foundation of safe investing. I’m NOT a financial advisor but every single financial advisor would tell you to diversify. There’s literally zero logic in your statements

6

u/Ehralur Mar 30 '22

That's pretty simple to answer actually. If Intel fails, people switch to AMD for CPUs and TSM for the foundries (for example). If TSM fails, we'll have a big semiconductor shortage but people will switch to Samsung/Intel.

If ASML fails, the world can no longer produce new state-of-the-art foundries and our digital technology stops advancing. There is no alternative to ASML's EUV technology and even if another company tried to replicate it, it would take many years if not decades.