Major Bank Ratings | Bernstein: Raises ASML target price to 2,500 euros, lists three major upside drivers

Gelonghui, July 16th｜Bernstein raised ASML's target price from 2,300 euros to 2,500 euros and maintained an "outperform" rating. Analyst David Dai pointed out three major upside drivers: First, ASML plans to increase annual production capacity for both low-NA EUV and ArFi tools by 30% each in 2027 and 2028; there is room for price increases, with the average selling price of EUV estimated to rise by 10% in 2027 and expected to achieve another high single-digit percentage gain in 2028; margin improvement has positive prospects, as the company guides for a gross margin of 56% in the second half of 2026, higher than the market consensus of 52.6%. Bernstein has raised its revenue forecasts for ASML for 2027 and 2028 to 56 billion and 72 billion euros, respectively, and its earnings per share forecasts to 53.6 and 75.3 euros, accordingly.