ASML Holding N.V. (NASDAQ:ASML) is one of the Trending AI Stocks on Wall Street. On July 23, Erste Group analyst Hans Engel downgraded the stock from Buy to Hold due to uncertainty revolving around its revenue growth prospects for 2026.
ASML’s revenue and profit growth are both expected to be lower than in 2025. The firm believes that ASML maintains “a monopoly position in state-of-the-art lithography systems,” particularly highlighting the company’s leading market position in advanced chipmaking equipment.
A close-up of a financial analyst looking intently at an investment portfolio of underlying assets.
As per the research note, ASML’s third quarter guidance for total net sales is between EUR 7.4 billion and EUR 7.9 billion. The firm added that it also anticipates a slightly lower gross margin of 50% to 52% in the third quarter in comparison to the previous quarter.
ASML Holding N.V. (NASDAQ:ASML) develops and sells advanced semiconductor equipment, including lithography, metrology, and inspection systems for chip manufacturing.
While we acknowledge the potential of ASML as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: 10 AI Stocks Everyone Is Watching Closely and 10 AI Stocks Making Waves on Wall Street
Disclosure: None.
