ASML’s Stock Dip Presents Buying Opportunity Amid AI Sector Growth
ASML Holdings, the Dutch semiconductor equipment manufacturer crucial to global chip production, has seen its shares decline over 30% from July 2024 highs. This pullback offers investors a rare entry point into a company whose extreme ultraviolet (EUV) lithography machines enable advanced AI chips and cutting-edge technology.
Government export controls, particularly targeting China, have pressured ASML's performance. Yet its monopoly on EUV technology positions it as an indispensable player in the semiconductor supply chain. The stock's current valuation reflects regulatory headwinds rather than diminished long-term prospects.