ASML Holding (ASML) to Post Q3 Earnings: What’s in the Cards?


ASML Holding N.V. (ASML Quick QuoteASML ) is slated to report third-quarter 2022 results on Oct 19.

For the third quarter, ASML expects revenues between €5.1 billion and €5.4 billion.

Management projects gross margin between 49% and 50%. Also, research and development costs, and selling, general and administration expenses are projected at €810 million and €235 million, respectively.

ASML Holding N.V. Price and EPS Surprise

ASML Holding N.V. Price and EPS Surprise

ASML Holding N.V. price-eps-surprise | ASML Holding N.V. Quote

Factors to Consider

ASML Holding’s third-quarter results are expected to reflect its portfolio strength, growing investments, expanding position in the memory market and increasing design wins.

Demand for ASML Holding’s products is likely to have strengthened owing to the increasing adoption of advanced nodes in support of the build-up of the digital infrastructure, including growth drivers, such as 5G, AI and high-performance computing solutions.

The growing prospects in semiconductor end markets, megatrends in the electronics industry and increasing lithography intensity might have bolstered demand for ASML’s products and services further.

The rising Installed Base Management sales, new lithography systems units sold and used lithography systems units sold are anticipated to have contributed well.

Additionally, prospects around next-generation technology development, capacity additions at leading-edge nodes, and increasing competitive dynamics and investments in Extreme Ultraviolet (EUV) infrastructure are likely to have benefited ASML’s performance across foundry and logic in the quarter under review.

The expanding memory market, especially DRAM, and solid momentum in logic owing to transitions to 5G and AI are likely to have driven ASML’s EUV system revenues in the soon-to-be-reported quarter.

Moreover, the service business of ASML is expected to have performed well in the third quarter, driven by the increasing contribution from EUV service revenues.

The application business of ASML is expected to have continuously gained from the rising need for scanners in EUV and Deep Ultraviolet (DUV) systems in the quarter under review.

However, uncertainties related to the macro environment, including the adverse impact of the pandemic and geopolitical developments on economy, are expected to have been headwinds to this currently Zacks Rank #3 (Hold) player in the to-be-reported quarter.

Upcoming Earnings to Watch

Iridium Communications (IRDM Quick QuoteIRDM ) sports a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Iridium Communications is set to report third-quarter 2022 results on Oct 20. The Zacks Consensus Estimate for IRDM’s earnings is pegged at 2 cents per share. The prior-year quarter reported a loss of 2 cents per share. IRDM has gained 18.5% in the year-to-date period.

Aspen Technology (AZPN Quick QuoteAZPN ) carries a Zacks Rank #2 (Buy) at present.

Aspen Technology is scheduled to release first-quarter fiscal 2023 results on Oct 26. The Zacks Consensus Estimate for AZPN’s earnings is pegged at $1.23 per share, suggesting growth of 59.7% from the year-ago quarter’s reported figure. AZPN has gained 65.8% in the year-to-date period.

Agilysys (AGYS Quick QuoteAGYS ) carries a Zacks Rank #2 at present.

Agilysys is scheduled to release second-quarter fiscal 2023 results on Oct 25. The Zacks Consensus Estimate for AGYS’ earnings is pegged at 18 cents per share. AGYS has gained 19.9% in the year-to-date period.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

Leave a Reply

Your email address will not be published.