TLDR
- Elon Musk called ASML “arguably the greatest company in Europe” in an X post Saturday, ahead of speaking at ASML’s private technology conference Thursday
- Musk needs ASML’s extreme ultra-violet (EUV) photolithography machines for Terafab, his $55B–$119B chip-making project in Texas
- ASML stock has returned 53% in 2026 and was trading 3.9% higher Monday, sitting just 3% below its all-time high
- BofA reiterated a Buy rating and kept its $2,268 price target, projecting revenues could reach €73 billion by 2030 — above ASML’s own guidance of €44B–€60B
- BofA sees potential for gross margins above 60%, EBIT margins of 50%, and EPS exceeding €90 by 2030
Elon Musk is set to speak at ASML’s private technology conference in the Netherlands on Thursday, the day before SpaceX’s public listing. Bloomberg first reported the invitation.
On Saturday, Musk posted on X: “ASML should be treasured. It is arguably the greatest company in Europe.” The compliment was not entirely unprompted.
Musk is building Terafab — a vertically-integrated semiconductor and compute manufacturing facility in Texas backed by Tesla, SpaceX, and xAI. Cost estimates range from $55 billion to $119 billion. For Terafab to work, Musk needs EUV machines. ASML makes the only ones that exist.
EUV photolithography is the technology used to print circuits onto microchips at the most advanced nodes. The AI infrastructure boom has made demand for these machines intensely competitive, with long lead times and tight supply.
At Thursday’s event, Musk is scheduled to host a fireside chat with ASML CEO Christophe Fouquet, covering AI, robotics, space, and chip manufacturing.
The invitation has not been universally welcomed. Some ASML employees have reportedly voiced strong disapproval, citing Musk’s political views and public statements.
ASML stock was trading at $1,734.19 on Monday, up 3.9% on the session. The stock sits just 3% below its all-time high set last week.
Year-to-date, the stock is up 53%, making it one of Europe’s strongest performers in the AI infrastructure trade.
BofA Reiterates Buy, Eyes €73B Revenue Scenario
BofA Securities reiterated its Buy rating on ASML Monday and kept its $2,268 price target.
The firm said ASML’s official 2030 guidance targets revenue of €44B–€60B, gross margin of 56%–60%, and operating expenses of €7.7B–€8.5B. BofA thinks ASML can exceed that top end.
BofA’s bull case sees ASML reaching €73 billion in 2030 revenue. In that scenario, higher volumes would absorb more fixed costs — which the firm estimates make up roughly 20% of cost of goods sold.
That would push gross margins above 60%, EBIT margins to 50%, and earnings per share past €90 on or around 2030. ASML’s current gross margin sits at 52.6% over the last twelve months.
The stock trades at a P/E of 58.31. InvestingPro flags the valuation as stretched at current levels.
Morgan Stanley and Buyback Activity
Morgan Stanley also raised its price target on ASML recently, moving to €1,660, citing strong demand for EUV tools.
ASML has been active on buybacks, repurchasing 60,388 shares for approximately €79.4 million as part of its ongoing capital management program.
Nikon has been positioning itself as a lower-cost alternative in semiconductor photolithography, aiming to take market share — though it is not competing at the EUV level where ASML holds a monopoly.
ASML’s 52-week high stands at $1,831.11. The stock was last at $1,734.19 on Monday.
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