The impact of the corona pandemic on the profit of chip machine manufacturer ASML has already been largely discounted. At the same time, the company may rise in the second half of the year to improve demand and investor sentiment. Bank of America analysts are therefore increasing their advice of the stock from neutral to buy.
The earnings per share for ASML in 2020 that analysts expect in average are currently 19 percent lower than in January, experts of the bank say. Further reductions in the profit forecast remain possible. But this is mainly about limiting the risks.
Bank of America also increases the target price for ASML from 266 euros to 325 euros. Shortly after the opening bubble on the Amsterdam stock exchange, the stock traded 3.9 percent higher at 264.85 euros.
Peretz M. is an accomplished economist and financial journalist with a deep understanding of the global economy and financial markets. He is a regular contributor to EconomicInform, where he provides expert analysis and commentary on current economic trends and events. With a strong educational background in economics, Peretz has a talent for breaking down complex economic concepts for a general audience and is able to provide insightful perspectives on a wide range of economic issues.
