Here's How Much Traders Expect ASML Stock to Move After Earnings

ASML Holding is scheduled to release quarterly results Wednesday morning, and traders are anticipating a big move in the chip manufacturing equipment maker’s stock after the report. ASML’s sales and profits are expected to continue growing as AI-related demand for the company’s chipmaking equipment remains strong.

ASML Holding is set to release its latest quarterly results ahead of the opening bell on Wednesday, and traders are expecting a big move from the stock to follow. Based on current options pricing, traders are anticipating that ASML (ASML) shares could swing as much to 7% by the end of the week. A move of that size from Friday’s close of just under $1,800 could see the Dutch company’s U.S.-listed shares rally as high as $1,930, near last month’s closing record of just under $1,990. The low end of that range would be about $1,670.

Demand for ASML’s chipmaking equipment can serve as an indicator for how far out the chipmakers themselves see demand, and how willing they are to invest in growing production capacity. Shares of the maker of semiconductor manufacturing equipment have gained nearly 70% since the start of the year, and roughly 125% in the past 12 months, amid an AI rally that has driven a wide range of hardware stocks higher. AI demand for advanced semiconductors has led chipmakers to invest in increasing their manufacturing capabilities, boosting ASML’s sales. Morgan Stanley analysts last month wrote that ASML’s equipment is “a critical enabler” of the memory chip industry’s efforts to increase production. UBS analysts in May lifted their price target for ASML by nearly 20%, calling it a top pick in the semiconductor industry because of the “increased conviction in a tightening indus...