Analyst Explains Why Nvidia China News Could be ‘Huge’ for ASML Holding (ASML)

ASML Holding N.V. (NASDAQ:ASML) is one of the 10 Stocks to Buy and Sell in 2025: Top Analyst Calls.

Joe Tigay from Equity Armor Investment said in a recent program on Schwab Network that the US government’s decision to allow Nvidia to sell chips in China could be “huge” for ASML Holding NV (NASDAQ:ASML). He explained why the company is important in the AI industry:

“ASML has been a company I’ve been following for the past few years. I am obviously a big fan. It’s been behind this chip revolution. It makes what people have called the most complicated machine humans have ever built and as you can imagine it is very expensive to produce. They are essentially the machine that makes the machine. So we can’t get these Nvidia chips without these ASML machines. And I think this China news could be really huge for this company. We remember they took a big write off, big leg down when the China news came out that Nvidia will not be selling to China earlier in the year. So it’s going to be interesting to see are we going to be able to recover all that? Yes, the stock actually has recovered from that gap right now, but a lot of that recovery was just from new businesses, existing growth of their business.”

Photo by Redd on Unsplash

Parnassus Growth Equity Fund stated the following regarding ASML Holding N.V. (NASDAQ:ASML) in its Q1 2025 investor letter:

“In Information Technology, we moved from an underweight to an overweight as we added new positions in Synopsys, ASML Holding N.V. (NASDAQ:ASML) and AppFolio while selling Adobe and Procore Technologies. ASML is a leading supplier of photolithography systems, equipment crucial for producing advanced microchips. It has a wide moat built on technology innovation, high market share and strong customer and supplier relationships.”

While we acknowledge the potential of ASML as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.

Source link

Visited 1 times, 1 visit(s) today

Related Article

China Proposes Global AI Body to Counter US Influence

China Proposes Global AI Body to Counter US Influence

Chinese Premier Li Qiang speaks during the opening ceremony of the World Artificial Intelligence Conference in Shanghai, China, July 26, 2025. REUTERS/Xihao Jiang China announced on Saturday its intention to establish an organisation promoting global cooperation on artificial intelligence (AI), positioning itself as a counterweight to U.S. influence over the emerging technology. China wants to

26 July 2025
Wang Chenyue of Zhejiang province says she has always wanted to join the military, especially the navy. Photo: Handout

China’s navy submarine academy recruits first female students in 72-year history

For the first time in 72 years, China’s top training institution for navy submarine personnel has recruited 10 women for its bachelor’s degree programme. The 10 students, who achieved top scores on this year’s university entrance exams, were accepted by the PLA Naval Submarine Academy, according to a social media post by the institution on

26 July 2025
Why US Tactical Concessions Will Fail to Break the China-Russia Strategic Alliance

China Doesn’t Want Russia to Win—Just to Bleed, Obey, and Keep US Distracted, The Hill Writes — UNITED24 Media

Chinese Foreign Minister Wang Yi recently told EU foreign policy chief Kaja Kallas that Beijing “can’t accept Russia losing its war against Ukraine as this could allow the United States to turn its full attention to China.” However, this statement may reveal less about China’s genuine concerns and more about its diplomatic posturing. According to The Hill on July 25, Wang’s remarks

26 July 2025
Share

China urges global AI consensus amid escalating tech rivalry with US

AI (Artificial Intelligence) smartphone app ChatGPT surrounded by other AI Apps in Vaasa, on Jun. 6, 2023. (AFP Photo) July 26, 2025 12:52 PM GMT+03:00 Chinese Premier Li Qiang urged the international community Saturday to establish urgent consensus on balancing artificial intelligence development with security risks, as the technology race between Beijing and Washington continues

26 July 2025
Trump's AI strategy understands 'denying the chips doesn't work': CSIS

China AI action plan

Chinese Premier Li Qiang spoke at the opening of the World Artificial Intelligence Conference in Shanghai on Saturday, July 26, 2025. Bloomberg | Bloomberg | Getty Images SHANGHAI — The tech race between the world’s two largest economies just intensified. China on Saturday released a global action plan for artificial intelligence, calling for international cooperation

26 July 2025
AI pioneer Geoffery Hinton proposes “an international community of AI safety”. Photo: Handout

AI experts urge US-China collaboration at Shanghai conference

Renowned scientists and business leaders from the US and China are calling for greater collaboration in the field of artificial intelligence amid growing concerns that humanity might lose control of the rapidly evolving technology. In his talk, Hinton acknowledged the challenges of international cooperation owing to divergent national interests on issues such as cyberattacks, lethal

26 July 2025
Taiwanese people go to vote at a polling station in Taipei, Taiwan, on Saturday to determine whether to oust about one-fifth of their lawmakers, all from the opposition Nationalist Party, in elections.

Taiwanese voters reject a bid to remove lawmakers from a China-friendly party : NPR

Taiwanese people go to vote at a polling station in Taipei, Taiwan, on Saturday to determine whether to oust about one-fifth of their lawmakers, all from the opposition Nationalist Party, in elections. ChiangYing-ying/AP/AP hide caption toggle caption ChiangYing-ying/AP/AP Taiwanese voters rejected a bid to oust about one-fifth of their lawmakers, all from the opposition Nationalist

26 July 2025
Chinese Premier Li Qiang speaks during the opening ceremony of World Artificial Intelligence Conference in Shanghai, China, July 26, 2025. REUTERS/Xihao Jiang

Li Qiang Pushes For AI Cooperation Amid US-China Tech Tensions

Chinese Premier Li Qiang speaks during the opening ceremony of World Artificial Intelligence Conference in Shanghai, China, July 26, 2025. REUTERS/Xihao Jiang In a significant global appeal, Chinese Premier Li Qiang on Saturday urged the formation of an international organisation to enhance cooperation on artificial intelligence (AI), calling on countries to coordinate efforts in the

26 July 2025