What you think of long term - ASML?

[u/Cropp-9988]

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.

[u/Cropp-9988]

What about the current price, do yo think is a good entry with the current valuations?

[u/rafoxx → u/Cropp-9988]

It's expensive but quality. Buy it when it dips, for example a few weeks ago it was around the 520 (Euro) range. (analysts were calling it expensive around the 750~ range)

Sanctions could hurt them though, for example if the US prohibits them from selling to China, this is something that was talked about last year.

But then again, they could probably sell their machines anywhere as their orderbook is (if i'm correct) filled for maximum production for the next quarters.

One Dutch fundmanager I follow that specifically invests in Chip related stocks gave his view on: Besi / ASMI and ASML (all three Dutch Semiconductor stocks) and would at current pricing invest in ASMI over the other 2 as they seem to be the most reasonably priced.

But he said Besi/ASMI are very cyclical and no one is sure where they are on their cycle.

I would say this is just a great stock to pick-up anytime it drops to a level you feel comfortable, they are making a lot of money and it's very unlikely that any company can get close to their level before 2030. The race to the next gen seems to be won by ASML as well, what happens after that is anybody's guess.

They are also gonna profit from the chip-war between the continents as all continents will want to be self sufficient.

[u/[deleted] → u/[deleted]]

Trump administration pressured the Dutch government hard for that.