Bank of America Lowers ASML PT to €759 But Remains Bullish

ASML Holding N.V. (NASDAQ:ASML) is among the 11 Best Foreign Stocks to Buy. Bank of America lowered its price target for ASML to €759 but kept a “Buy” rating. BofA analysts see risks to Foundry and Logic demand in 2026 but find the stock attractively valued at 19.6 times estimated 2026 EV/EBITDA.

BofA also cut earnings per share estimates for ASML for 2026 and 2027 by 4% to 5%, citing risks like lower revenues from China and uncertainty in chipmaker demand. Challenges include issues at Intel, Samsung, and export controls on China. Near-term demand for ASML’s extreme ultraviolet technology may weaken.

Despite challenges, BofA analysts are optimistic about ASML in the long term. They predict earnings per share could reach €40 by 2030, with potential upside to €50 due to growing demand for AI chips. ASML designs and develops semiconductor equipment systems, including photolithography machines for chip production.

While ASML has investment potential, some AI stocks offer greater upside with less downside risk. BofA remains bullish on ASML in the long term. If you’re seeking an undervalued AI stock benefiting from tariffs and onshoring, explore the best short-term AI stock.

Read more at Yahoo Finance: Bank of America Cuts ASML PT, Keeps Buy Rating