April 18, 2024 | ASML, Daily JAM, Long Term, Top 50 Stocks, Videos |
Today’s Hot Button Moves NOW video is Buy ASML Holding (ASML). ASML is the only global manufacturer of the most cutting-edge chip-making equipment, a technology called Extreme Ultra Violet Lithography (EUV). The equipment allows for a smaller chip, more transistors on the chip, and more power for less silicon. ASML’s earnings report on April 16 was disappointing, with fewer than expected orders, a situation that will likely continue into the next couple of quarters. This resulted in a big drop in earnings and the stock taking a big hit. But, this is the only game in town for this equipment, and anything chip that uses the new 2-nanometer, 3-nanometer, and 5-nanometer technologies will be made on ASML equipment. So orders will not stay down for long. I would use this weakness to buy ASML Holding. It’s not cheap, but it’s not likely not get much cheaper than this, and as geopolitical chip wars settle, orders for ASML will jump rebound. ASML Holding is a member of my long-term 50 Stocks Portolio.
March 2, 2024 | Daily JAM, Short Term |
The coming week I expect a battle for the market’s attention between the continued AI monster momentum story and the macro story on inflation and interest rates.
February 23, 2024 | Daily JAM, Long Term, NVDA, Top 50 Stocks |
Yesterday, Thursday, February 22, Nvidia (NVDA) gained 16.40% at the close after beating Wall Street expectations on earnings and revenue after the market close on Wednesday. And then raising guidance for the rest of 2024. But what most interested me on Thursday were what tech stocks Nvidia carried higher with it–and which stocks it didn’t.
January 28, 2024 | Daily JAM, Videos |
Today’s Quick Pick is ASML Holding (ASML). ASML Holding is a chip equipment maker, specializing in high-end ultraviolet lithography. The stock released an impressive earnings report on Tuesday which sent the stock up 8.5% on that day. It’s up about 18% since I recommended the stock back in December. However, please remember, chip stocks and especially chip equipment stocks are cyclicals. They do well when demand is high, and then dip back down when demand is low. We’re currently in a big up cycle for chips with demand for new AI chips continuing to rise. ASML expects 2024 to maintain that upward swing and the stock is rising as expected. The thing I want to point out is how we know cyclical PEs to behave. The highest point for a cyclical PE tends to be down at the bottom, and as the stock goes up, the PE should go down. At the moment, the market is not at all focused on fundamentals and what we’re seeing is cyclical stocks trading like growth stocks. ASML is not a growth (forever) stock, but it’s currently trading at a PE of 39, the same as Microsoft, a definite growth stock (for comparison). There will be a top for ASML, it may not be 2024 but make sure you’re looking at fundamentals even if no one else in the market is.
January 24, 2024 | AMAT, AMD, ASML, Daily JAM, Jubak Picks, Top 50 Stocks |
Shares of ASML Holding (ASML) closed up 8.85% today after the company reported record orders for its chip-making equipment in the fourth quarter. ASML sales grew 12.5% year-over-year. And orders more than tripled from the third-quarter. I added shares of ASML Holding to my long-term 50 Stocks Portfolio on December 12, 2023. The position is up 17.6% since then as of the close on January 24.
January 4, 2024 | ASML, Daily JAM, Morning Briefing, Top 50 Stocks |
You may have noticed that shares of chip equipment maker ASML Holding have been in retreat lately. The shares are down from a $757 close on December 29 to $700 today, January 4. That’s at 7.5% drop. So what’s up?
December 12, 2023 | ASML, Daily JAM, Stock Alerts, Top 50 Stocks |
GREATER Growth Stock Pick #7: ASML Holding (ASML). ASML Holding is priced like a stock that owns 90% of the market for cutting edge photo lithography chip-making equipment. I want to own this stock as one of my 10 GREATER Growth Stocks, but I worry about paying that kind of multiple (35 times trading 12-month earnings per share), especially ahead of what is shaping up as a challenging 2024 for chip equipment makers in general and ASML in particular. But 2025 looks like a great year for chip equipment makers in general and ASML in particular. So timing is the key issue on buying this one.
December 6, 2023 | ALB, Daily JAM, GOLD, Jubak Picks, MSFT, NVDA, Special Reports, Stock Alerts, Top 50 Stocks, TSM |
Here are the first 8 picks for my GREATER Growth Stocks Special Report. More on the way.
September 15, 2023 | Daily JAM, Mid Term, Morning Briefing |
Taiwan Semiconductor Manufacturing (TSM), the company that makes the chips for everyone from Apple to Nvidia, has told suppliers to delay some deliveries amid concerns about slowing chip demand, according to a new report Friday from Reuters. The company has told large chip-equipment suppliers to delay some deliveries, Reuters reported. The company is “increasingly nervous” about demand from its customers, the report said.Last week, the company said its August revenue fell 13.5% from last year but rose 6.2% from the prior month. As you might imagine, the news wasn’t greeted with cheers by investors in technology stocks.
October 13, 2022 | Daily JAM, Videos |
Today’s topic: what if you haven’t been pessimistic enough now? I’ve been pretty pessimistic for a while now. And I don’t expect that the October 13 bounce really marks the bottom in this Bear Market. The bottom in my opinion won’t come until the end of 2023 or, maybe, 2024. But my worry after the events of the last few days is that I haven’t been pessimistic enough. It looks like the global economy is slowing even more than we expected. The IMF International Monetary Fund came out Monday, October 10 with new lowered projections for global growth of 2.7% in 2023. That’s down from 2.9% back in July, and it’s down from 3.8% in January. We’ve also got a big escalation of the war in Ukraine leading to a worsening global energy crisis due to more extreme sanctions on Russian oil. On top of that, we have a new trade war with China hammering technology stocks. The question is, how do you get ahead of this? I’ve suggested selling Tesla (NASDAQ: TSLA) and ASML Holding (NASDAQ: ASML) on the assumption that China is going to retaliate by hammering U.S. companies that do regular business in China. Two more stocks that I’m looking at selling–or maybe protecting with Put options–are Nvidia (NASDAQ: NVDA) and Apple (NASDAQ: AAPL) as I try to get ahead of what’s going on in China.
October 11, 2022 | ASML, Daily JAM, Top 50 Stocks |
Today I’m selling ASML Holding (ASML) out of my long-term 50 Stocks Portfolio. My take on Asmel hasn’t changed: this is one of the key chip equipment companies in the drive to produce smaller and denser chips. What has changed in the market and the global economy. I think that technology, and especially chip stocks, are in a downtrend that has a lot longer to run. And that recent U.S. restrictions on advanced chip technology exports to China will set off a trade war that will come down heavily on companies such as ASML.
October 10, 2022 | AAPL, AMD, ASML, Daily JAM, Jubak Picks, NVDA, Top 50 Stocks, TSLA |
If you liked the Trump administration’s trade war with China, you’ll love the Biden administration’s new, more dangerous, escalated version. Rather than slapping tariffs on Chinese goods, and inviting retaliatory tariffs by China on American products, the Biden administration war limits the same of advanced semiconductors and chip-making equipment to Chines companies. The action is aimed straight at the heart of China’s efforts to build its own chip industry. And it plays right into a belief, stoked by China’s President Xi Jinping, that China is the victim of a Western plot to prevent the country’s rise to its rightful place in the global order. And the opening blows in this trade war come just as President Xi aims to be installed as China’s newest preeminent leader with a status near that of Mao. I don’t know what the retaliation from China will be, but it is unlikely to stop with a few restrictions on how U.S. companies, such as Tesla (TSLA) and Apple (AAPL) operate in China. The situation is so dangerous because it is so uncertain and so open-ended.
