-
Both companies are dominating their respective niches.
-
High-NA EUV systems can prove to be major catalyst for ASML.
-
Eli Lilly’s obesity and type 2 diabetes portfolio is seeing solid traction.
-
10 stocks we like better than ASML ›
Wall Street has long rewarded patience and sound investment choices far more than market timing. Hence, buying and holding stakes in high-quality companies benefiting from powerful secular tailwinds can be one of the most effective ways to build long-term wealth.
In case you have $5,000 that is not required to pay bills or for any other contingencies, then picking stakes in either of these two stocks can help you generate meaningful returns in the long run.
ASML Holding(NASDAQ: ASML) continues to be a cornerstone of the global semiconductor industry. The company’s deep ultraviolet (DUV) and now even more advanced extreme ultraviolet (EUV) lithography systems are essential tools used by leading chip manufacturers to etch ultra-fine circuit patterns onto silicon wafers using laser light.
In the third quarter, the company reported 7.5 billion euros in total net sales and 2.1 billion euros in net income. While net sales were mostly flat year-over-year, the long-term outlook is still strong, driven by explosive demand for advanced chips used in artificial intelligence (AI) and high-performance computing (HPC) workloads.
The company is now gearing up for the commercial rollout of its latest generation EUV lithography system called High-NA, with 0.55 numerical aperture. This next-generation tool can etch circuit patterns at even higher resolutions, enabling chip manufacturers to make even smaller transistors. This results in higher performance and energy efficiency in advanced chips.
Intel and SK hynix have already begun installing these systems. ASML expects even more orders for High-NA EUV systems from the second half of 2026, once existing clients complete the qualification runs to test the consistency and reliability of the tool. The company then expects to start shipments in 2028 and beyond. Since every high-NA system costs from $380 million to $400 million, a sale of even a few systems beginning in 2028 can have a dramatic impact on ASML’s topline.
ASML will continue to benefit from the rising demand for complex computing and memory chips in the global AI infrastructure buildout. The company is also benefiting from chipmakers using EUV lithography machines more frequently to create microscopic circuit patterns in multiple steps (EUV layers ) while building advanced semiconductor chips.
