Semiconductor equipment maker ASML (ASML) on Wednesday beat analyst estimates for earnings in the second quarter, though sales were a tad light. ASML stock jumped on the news.
The Dutch company earned the equivalent of $3.04 a share on sales of $4.84 billion in the June quarter. Wall Street had predicted ASML earnings of $3 a share on sales of $4.93 billion. ASML reports financial results in euros. In local currency, ASML earnings rose 41% year over year while sales climbed 21%.
ASML now expects sales to grow about 35% in 2021. It previously targeted 30% growth this year.
For the current quarter, it forecast sales of $6.24 billion, based on the midpoint of its outlook. Analysts had been looking for $5.63 billion in the September quarter.
ASML Stock Rises
In afternoon trading on the stock market today, ASML stock advanced 4.2%, near 712.50.
“The demand continues to be high across all market segments and our product portfolio,” Chief Executive Peter Wennink said in a news release. “This is a reflection of the market that is focused on increasing capacity to support the build-up of the digital infrastructure.”
Netherlands-based ASML makes advanced lithography equipment for etching tiny circuits onto semiconductors.
Cowen analyst Krish Sankar said ASML’s second-quarter results were largely in line with consensus estimates while the company’s third-quarter guidance was slightly above views. He said ASML’s bookings in the June quarter were “impressive.”
Sankar rates ASML stock as outperform, or buy.
Follow Patrick Seitz on Twitter at @IBD_PSeitz for more stories on consumer technology, software and semiconductor stocks.
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