Meet the Dutch Stock Powering the Chip Sector Today

ASML is on track for its best day since November 2022

Managing Editor
Jan 24, 2024 at 9:59 AM
facebook X logo linkedin


While Netflix (NFLX) earnings are powering most of the feel-good sentiment on the Nasdaq Composite (IXIC) today, there's also a chipmaker's earnings report across the pond that is having a wide-ranging impact on tech stocks stateside.

Dutch semiconductor giant ASML Holding NV (NASDAQ:ASML) is up 7.5% to trade at $836.84, on track for its best single-session pop since November 2022, after the company reported a top-line fourth-quarter beat, which featured orders 165% above consensus.  

Jefferies called the report a "blockbuster," helping the company "comfortably" hit its 5% growth forecast for 2024. Sector peers Advanced Micro Devices (AMD), Intel (INTC), and Applied Materials (AMAT) are all up 1% or more at last check. 

ASML hit a more than two-year high of $840.92 out of the gate, and even before today's breakout had added 48% off its Sept. 28 annual low of $563.99. You might remember this stock as a Schaeffer's Top Stock Pick in 2023, when it snapped up a 38.5% annual return. To access our free Top Stock Picks of 2024 report, click here

The stock is doing this with a heavy bullish backdrop baked in. The majority of analysts rate ASML a "strong buy," with zero "sells" on the books, and a  slim 0.3% of the equity's total available float is sold short. 

Options traders are call skewed as well. On the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), the stock's 10-day call/put  volume ratio of 1.98 is four percentage points from an annual high. So not only do calls outflank puts by a 2-to-1 ratio, but the elevated percentile indicates a healthier-than-usual appetite for long calls relative to puts on ASML during the past two weeks.

 
 

Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls

 
 
 


 
 

Rainmaker Ads CGI