WallStSmart

ASML Holding NV ADR (ASML)vsLam Research Corp (LRCX)

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Smart Verdict

WallStSmart Research — data-driven comparison

ASML Holding NV ADR generates 59% more annual revenue ($32.67B vs $20.56B). LRCX leads profitability with a 30.2% profit margin vs 29.4%. LRCX appears more attractively valued with a PEG of 1.53. LRCX earns a higher WallStSmart Score of 74/100 (B).

ASML

Buy

56

out of 100

Grade: C

Growth: 6.0Profit: 9.5Value: 7.3Quality: 5.0

LRCX

Strong Buy

74

out of 100

Grade: B

Growth: 7.3Profit: 10.0Value: 8.7Quality: 7.8
Piotroski: 6/9Altman Z: 4.65
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ASMLSignificantly Overvalued (-195.5%)

Margin of Safety

-195.5%

Fair Value

$516.62

Current Price

$1366.39

$849.77 premium

UndervaluedFair: $516.62Overvalued
LRCXUndervalued (+0.6%)

Margin of Safety

+0.6%

Fair Value

$227.92

Current Price

$224.71

$3.21 discount

UndervaluedFair: $227.92Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ASML5 strengths · Avg: 9.8/10
Market CapQuality
$545.47B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
50.5%10/10

Every $100 of equity generates 51 in profit

Operating MarginProfitability
35.3%10/10

Strong operational efficiency at 35.3%

Free Cash FlowQuality
$10.57B10/10

Generating 10.6B in free cash flow

Profit MarginProfitability
29.4%9/10

Keeps 29 of every $100 in revenue as profit

LRCX6 strengths · Avg: 9.7/10
Market CapQuality
$275.57B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
65.6%10/10

Every $100 of equity generates 66 in profit

Profit MarginProfitability
30.2%10/10

Keeps 30 of every $100 in revenue as profit

Operating MarginProfitability
33.9%10/10

Strong operational efficiency at 33.9%

Altman Z-ScoreHealth
4.6510/10

Safe zone — low bankruptcy risk

Revenue GrowthGrowth
22.1%8/10

Revenue surging 22.1% year-over-year

Areas to Watch

ASML4 concerns · Avg: 3.0/10
PEG RatioValuation
2.334/10

Expensive relative to growth rate

Revenue GrowthGrowth
4.9%4/10

4.9% revenue growth

P/E RatioValuation
49.3x2/10

Premium valuation, high expectations priced in

Price/BookValuation
23.4x2/10

Trading at 23.4x book value

LRCX3 concerns · Avg: 2.7/10
PEG RatioValuation
1.534/10

Expensive relative to growth rate

P/E RatioValuation
45.0x2/10

Premium valuation, high expectations priced in

Price/BookValuation
27.7x2/10

Trading at 27.7x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : ASML

The strongest argument for ASML centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 29.4% and operating margin at 35.3%.

Bull Case : LRCX

The strongest argument for LRCX centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 30.2% and operating margin at 33.9%. Revenue growth of 22.1% demonstrates continued momentum.

Bear Case : ASML

The primary concerns for ASML are PEG Ratio, Revenue Growth, P/E Ratio. A P/E of 49.3x leaves little room for execution misses.

Bear Case : LRCX

The primary concerns for LRCX are PEG Ratio, P/E Ratio, Price/Book. A P/E of 45.0x leaves little room for execution misses.

Key Dynamics to Monitor

ASML profiles as a value stock while LRCX is a growth play — different risk/reward profiles.

LRCX carries more volatility with a beta of 1.79 — expect wider price swings.

LRCX is growing revenue faster at 22.1% — sustainability is the question.

ASML generates stronger free cash flow (10.6B), providing more financial flexibility.

Bottom Line

LRCX scores higher overall (74/100 vs 56/100), backed by strong 30.2% margins and 22.1% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

ASML Holding NV ADR

TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA

ASML Holding NV develops, produces, markets, sells and services advanced semiconductor equipment systems consisting of lithography, metrology and inspection related systems for memory and logic chip manufacturers. The company is headquartered in Veldhoven, the Netherlands.

Lam Research Corp

TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA

Lam Research Corporation is an American corporation that engages in the design, manufacture, marketing, and service of semiconductor processing equipment used in the fabrication of integrated circuits. Its products are used primarily in front-end wafer processing, which involves the steps that create the active components of semiconductor devices (transistors, capacitors) and their wiring (interconnects). The company also builds equipment for back-end wafer-level packaging (WLP), and for related manufacturing markets such as for microelectromechanical systems (MEMS). The company is headquartered in Fremont, California, in the Silicon Valley.

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