Sunday, April 26, 2015

Translation of Market Talk on ASML (26th of March, 2015) (

Below the translation of a market talk that was published on can be found. 

Deutsche Bank: Do not believe in EUV-hype ASML - Market Talk

Thursday 26th of March 2015 09:56AMAMSTERDAM (Dow Jones)--Deutsche Bank reduced its advice for ASML (ASML.AE) to sell from buy. The stock price has grown very rapidly in the past years, but expectations are too high, according to analysts, who are worried about the pace of the roll out of the new EUV-Technology. "Don't believe in the hype", is what the analysts are saying. A recent visit to a lithography conference confirmed their fear that EUV is still far away from high production volumes. The analysts don't expect the EUV technology to have a meaningful role for the bigger chip makers  for the 10 nm node, despite opposite statements from the company itself.  For the 7 nm logic chip the window might already close in the beginning of 2016 and there still is a lot of work to be done by ASML and its partners, according to DB. If there is no clear sight on a wafer production of 2.000 pieces per day  further delays can be costly. The analysts see a potential impact of €3 bn on the revenue (which is estimated to be €10 bn) in 2020, if EUV slows down for logic and DRAM chips.
Deutsche Bank lowered the price target to €85 from €105. The stock is trading 4.2% lower in Thursday's trading session, while the AEX loses 1.1%.   

Dow Jones Nieuwsdienst: +31-20-5715200;
(END) Dow Jones Newswires
March 26, 2015 04:56 ET (08:56 GMT)

Article has been translated to English by Dhierin-Perkash Bechai

No comments:

Post a Comment