:max_bytes(150000):strip_icc()/GettyImages-2206533043-3da422e968a24ae286e8a5bb79df6f62.jpg "What Chipmaking Equipment Giant ASML’s Q3 Results Said About AI Demand, China Trade")
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Key Takeaways
- ASML said its China sales are expected to “decline significantly” as it faces trade policy headwinds, though it sees “positive momentum” from demand for artificial intelligence.
- Shares of ASML and other stocks in the semiconductor sector climbed Wednesday after a down day for the sector amid worries about U.S.-China trade tensions.
Chipmaking equipment supplier ASML says it’s upbeat on AI demand, even in the face trade policy headwinds.
The Netherlands-based firm said it doesn’t see its 2026 sales falling from 2025 levels even though it expects sales in China to “decline significantly,” thanks in part to strong demand for its machines to make chips supporting AI data centers.
CEO Christophe Fouquet said the company has seen “continued positive momentum around investments in AI, and (has) also seen this extending to more customers.”
U.S.-listed shares of ASML (ASML) were up about 3% in recent trading. Shares of other companies in the semiconductor industry, including Nvidia (NVDA), Broadcom (AVGO), Advanced Micro Devices (AMD), and Lam Research (LRCX), also gained after a down day for the sector yesterday.
Why This Matters for Investors
As one of the world’s leading suppliers of chipmaking equipment, ASML’s results can be taken as a signal of whether chipmakers are feeling confident in the future of their businesses.
ASML reported third-quarter earnings per share of 5.49 euros ($6.38), above analysts’ estimates compiled by Visible Alpha, though its revenue of 7.52 billion euros ($8.74 billion) missed.
Fouquet said ASML sees current-quarter sales of between 9.2 billion and 9.8 billion euros ($10.7 billion and $11.4 billion), above the analyst consensus, and that the company plans to provide more details on its 2026 outlook in January.
With Wednesday’s gains, ASML shares have added 46% in 2025 so far.
