The Zacks Analyst Blog ASML Holding, NVIDIA, Intel and Taiwan Semiconductor Manufacturing Company

For Immediate ReleasesChicago, IL – April 16, 2025 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include ASML Holding N.V. ASML, NVIDIA Corp. NVDA, Intel Corp. INTC and Taiwan Semiconductor Manufacturing Company Ltd. TSM. Here are highlights from Wednesday’s Analyst Blog:2 Wide Moat Semiconductor Stocks to Buy at a Bargain Now A series of President Donald Trump’s ambiguous tariffs on several other countries, including China, wreaked havoc on Wall Street, and semiconductor stocks suffered the consequences. However, the latest tariff exemptions on chips and other high-tech goods boosted the equity market, leading to a recovery in many previously declining semiconductor stocks.Therefore, this is an ideal time to invest in strong semiconductor stocks, such as ASML Holding N.V. and NVIDIA Corp., which are currently trading at a discount following a recent drop but are poised to benefit from the upcoming rebound.Of course, the tariff reliefs are temporary, and these semiconductor stocks may experience bouts of volatility if trade disputes remain unresolved within the specified time frame. However, these stocks have a wide moat, providing them a competitive advantage and immunity to market fluctuations. Let’s examine this in detail –ASML and NVIDIA Benefit from Wide MoatsDutch company ASML is the global leader in producing extreme ultraviolet (EUV) lithography systems, which are essential for manufacturing powerful artificial intelligence (AI) chips. The lithography equipment is pricey, so the company doesn’t need to sell many to make sufficient revenues.Although the company sold only 44 EUV systems last year, they accounted for 38% of its total net system sales of 21.8 billion euros. It sells to major chipmakers like Intel Corp. and Taiwan Semiconductor Manufacturing Company Ltd.Having a monopoly in EUV lithography systems could potentially lead to market share loss, with China developing similar systems. However, manufacturing these systems is time-consuming due to their complex nature. Thus, the current risk of losing the monopoly is minimal, allowing the company to sustain long-term growth for stakeholders.Similarly, Jensen Huang-led NVIDIA enjoys a more than 80% share in the growing discrete graphic processing units (GPUs) market, giving the company a competitive edge over its rivals and fueling long-term growth. The company’s CUDA software platform is gaining popularity globally among developers, while the demand for Blackwell chips has skyrocketed due to their better energy efficiency level and faster AI interface.One More Bullish Reason for ASML StockFor some time, the rapid growth of AI applications has spurred the demand for advanced memory chips that require ASML’s EUV equipment for their manufacture. ASML’s EUV lithography machines experienced an increase in new orders in the fourth quarter of 2024 and are anticipated to see a surge in first-quarter 2025 bookings as well.This is why, ASML is on track to post a strong first quarter and help the stock regain its mojo. For the first quarter, the company expects revenues of 7.5 billion euros to 8 billion euros, a substantial 46% increase year over year. The earnings are estimated to come in at 5.75 euros a share, a jump of 85% year over year.Another Strong Reason to Be Bullish on NVIDIA StockThe continuous rise in AI data center spending will benefit NVIDIA in the long run. To meet the growing demand for AI workloads, major cloud computing companies are purchasing GPUs for their superior computing power.Three of the big cloud computing stocks are planning to spend $250 billion on AI data center infrastructure, while OpenAI, Softbank, and others are expected to spend $500 billion on data centers through the Stargate project. For these reasons, NVIDIA predicts that AI data center expenditures will reach $1 trillion by 2028, providing room for stock growth.Buy ASML and NVIDIA Stocks at a Discount NowASML’s global leadership in lithography and increasing product demand make its stock a compelling buy. Its shares have fallen 3% year to date but have gained 0.6% on Monday on Trump’s tariff reliefs.ASML’s expected earnings growth rate for the current year is 23.1%, and brokers have raised ASML’s average short-term price target by 42.3% to $953.61 from the previous $668.81.Dominance in the GPU space and a rise in AI infrastructure spending should help NVIDIA stock climb upward, making it an enticing buy. Its shares have tanked 17.8% this year but the company anticipates a 47.5% growth in earnings for the current year.Brokers have raised NVDA’s average short-term price target by 56.8% to $173.95 from the previous $110.93 (read more: Which Mag-7 Stock, Apple or NVIDIA, Should You Buy for Tariff Relief?)Both ASML and NVIDIA currently have a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks Rank #1 (Strong Buy) stocks here.Why Haven't You Looked at Zacks' Top Stocks?Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.Today you can access their live picks without cost or obligation.See Stocks Free >>Note: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Previewreports. If you want an email notification each time Sheraz publishes a new article, please click here>>>Media ContactZacks Investment Research800-767-3771 ext. 9339support@zacks.com                                     https://www.zacks.com                                                Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance  for information about the performance numbers displayed in this press release.Zacks Names #1 Semiconductor StockIt's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Intel Corporation (INTC): Free Stock Analysis Report NVIDIA Corporation (NVDA): Free Stock Analysis Report ASML Holding N.V. (ASML): Free Stock Analysis Report Taiwan Semiconductor Manufacturing Company Ltd. (TSM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks