ASM Technologies vs ASML Which Is More Attractive?

ASM Technologies and ASML are two leading companies in the semiconductor industry with stocks that have been garnering significant attention from investors. ASM Technologies focuses on providing advanced technology solutions for the semiconductor and electronics industries, while ASML is known for its cutting-edge lithography systems used in the manufacturing of semiconductor chips. Both companies have seen strong performances in the stock market, with ASM Technologies showing steady growth and ASML experiencing remarkable uptrends. Investors are closely monitoring these stocks for potential investment opportunities in the semiconductor sector.

ASM Technologies or ASML?

When comparing ASM Technologies and ASML, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between ASM Technologies and ASML.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. ASM Technologies has a dividend yield of 0.07%, while ASML has a dividend yield of 0.89%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. ASM Technologies reports a 5-year dividend growth of -0.33% year and a payout ratio of 0.00%. On the other hand, ASML reports a 5-year dividend growth of 29.40% year and a payout ratio of 35.02%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with ASM Technologies P/E ratio at 535.54 and ASML's P/E ratio at 38.78. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. ASM Technologies P/B ratio is 11.93 while ASML's P/B ratio is 16.63.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, ASM Technologies has seen a 5-year revenue growth of 1.31%, while ASML's is 1.71%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with ASM Technologies's ROE at 3.56% and ASML's ROE at 47.68%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ₹1443.50 for ASM Technologies and $716.22 for ASML. Over the past year, ASM Technologies's prices ranged from ₹49.20 to ₹1500.00, with a yearly change of 2948.78%. ASML's prices fluctuated between $645.45 and $1110.09, with a yearly change of 71.99%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.