ASM International NV (ASM) AI Stock Analysis

• Market Cap: €29.69B
• Dividend Yield: 0.58%
• Average Volume (3M): 180.94K
• Price to Earnings (P/E): 38.2
• Beta (1Y): 2.19
• Revenue Growth: 19.12%
• EPS Growth: 42.78%
• Country: NL
• Employees: 4,558
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): 4.20
• Shares Outstanding: 49,328,550
• 10 Day Avg. Volume: 169,277
• 30 Day Avg. Volume: 180,945
• PEG Ratio: -4.76
• Price to Book (P/B): 7.36
• Price to Sales (P/S): 9.41
• P/FCF Ratio: 51.77
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: €656.11
• Price Target Upside: -3.34% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: €697.00 ▲(2.68% Upside)

The score is driven primarily by strong financial performance (high growth, solid margins, and very low leverage). It is moderated by technically overbought signals (high RSI/Stoch) and a relatively expensive valuation (P/E 36.05) with a low dividend yield.

Positive Factors

Balance sheet strength

Extremely low leverage and a 73.1% equity ratio provide durable financial flexibility. This capital structure reduces refinancing risk, supports cyclical order books, and enables sustained R&D and capex funding without pressuring liquidity over the next several quarters.

Robust revenue growth

Sustained, high TTM revenue growth indicates strong secular demand and execution in advanced deposition equipment. Given structural drivers for semiconductors (AI, 5G, IoT noted in company description), this growth supports expanding scale, platform adoption and long-term revenue momentum.

Strong profit margins

High gross and operating margins reflect pricing power and specialized technology in capital equipment and services. Durable margins support cash generation, fund continued product development and spare-parts/service revenue expansion, enhancing long-term free cash flow potential.

Negative Factors

Slowing free cash flow growth

While FCF remains positive, a slowing growth rate signals reduced incremental cash conversion. If sustained, this constrains capital deployment for R&D, buybacks or dividends and may reflect rising working capital needs inherent in equipment cycles, weakening financial flexibility.

Net margin deterioration

A decline in net margin versus the prior year points to pressure on bottom-line profitability from cost, pricing or mix shifts. Persistent margin erosion would reduce earnings leverage on revenue growth and could limit reinvestment capacity and shareholder return over time.

Capital-equipment cyclicality

Dependence on semiconductor capital equipment sales creates structural cyclicality tied to customers' capex cycles. Even with secular demand drivers, order timing and backend concentration can cause durable volatility in revenues and margins, complicating multi-quarter planning and cash flow predictability.

ASM International NV Business Overview & Revenue Model

Company Description

ASM International NV, together with its subsidiaries, engages in the research, development, manufacture, marketing, and servicing of equipment and materials that are used to produce semiconductor devices in the United States, Europe, and Asia. Its products include wafer processing deposition systems for single-wafer atomic layer deposition, plasma enhanced chemical vapor deposition, epitaxy, and batch diffusion/furnace systems, as well as provides spare parts and support services. The company also manufactures and sells equipment, which is used in wafer processing, encompassing the fabrication steps in which silicon wafers are layered with semiconductor devices. It serves manufacturers of semiconductor devices and integrated circuits. The company was formerly known as Advanced Semiconductor Materials International NV. ASM International NV was incorporated in 1968 and is headquartered in Almere, the Netherlands.

How the Company Makes Money

ASM generates revenue primarily through the sale of its semiconductor manufacturing equipment and related services. The company’s revenue model is built on selling capital equipment to semiconductor manufacturers, which includes both the initial sale of machinery and ongoing service contracts for maintenance and support. Key revenue streams come from new equipment sales, spare parts, and service agreements. Additionally, ASM benefits from technology partnerships and collaborations with major semiconductor companies, which can lead to joint development projects and increased orders. The growing demand for advanced semiconductor technologies, driven by trends like the Internet of Things (IoT), artificial intelligence (AI), and 5G, also significantly contributes to ASM's earnings.

ASM International NV Financial Statement Overview

Summary

ASM International NV is performing well across all financial verticals, with strong revenue growth, profitability, and a robust balance sheet. The company effectively manages its financial resources, maintaining low leverage and generating healthy cash flows. While there are minor fluctuations in net income, the overall financial health remains strong, positioning the company well for future growth in the semiconductor industry.

Income Statement

ASM International NV demonstrates strong financial performance with consistent revenue growth, highlighted by a 4.13% increase in TTM. The company maintains robust profitability with a gross profit margin of 51.27% and a net profit margin of 16.16% in TTM. EBIT and EBITDA margins are also healthy at 29.27% and 36.25% respectively, indicating efficient cost management. However, the slight decline in net income from the previous year suggests a need for monitoring potential cost pressures.

Balance Sheet

The balance sheet of ASM International NV is solid, characterized by a low debt-to-equity ratio of 0.01, reflecting minimal leverage and financial risk. The return on equity stands at 14.64% in TTM, showcasing effective utilization of shareholder funds. The equity ratio of 70.83% indicates a strong capital structure with significant equity financing. Overall, the company maintains a stable financial position with low risk.

Cash Flow

ASM International NV exhibits positive cash flow trends with a free cash flow growth rate of 2.78% in TTM. The operating cash flow to net income ratio is 0.93, indicating strong cash generation relative to earnings. The free cash flow to net income ratio of 0.66 suggests effective conversion of profits into cash. Despite these strengths, the company should continue to focus on enhancing free cash flow to support future growth initiatives.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.28B	2.93B	2.63B	2.41B	1.73B	1.33B
Gross Profit	1.70B	1.48B	1.27B	1.14B	828.13M	623.57M
EBITDA	1.44B	990.54M	1.03B	529.29M	593.38M	361.84M
Net Income	783.46M	685.73M	752.07M	389.11M	494.71M	285.40M
Balance Sheet
Total Assets	5.25B	5.16B	4.23B	3.75B	2.71B	2.23B
Cash, Cash Equivalents and Short-Term Investments	1.08B	926.50M	637.26M	419.31M	491.51M	435.23M
Total Debt	57.30M	35.26M	33.56M	28.12M	23.46M	6.22M
Total Liabilities	1.41B	1.41B	999.92M	1.00B	469.33M	375.21M
Stockholders Equity	3.84B	3.75B	3.23B	2.75B	2.24B	1.85B
Cash Flow
Free Cash Flow	809.87M	532.92M	418.18M	333.01M	223.79M	101.56M
Operating Cash Flow	1.17B	897.65M	735.89M	541.49M	380.64M	264.35M
Investing Cash Flow	-496.32M	-349.97M	-289.04M	-474.88M	-114.40M	-144.31M
Financing Cash Flow	-313.73M	-301.03M	-236.05M	-132.60M	-240.26M	-170.45M

ASM International NV Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 678.80
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NL:ASM, the sentiment is Positive. The current price of 678.8 is above the 20-day moving average (MA) of 563.89, above the 50-day MA of 531.98, and above the 200-day MA of 488.67, indicating a bullish trend. The MACD of 33.24 indicates Negative momentum. The RSI at 73.44 is Negative, neither overbought nor oversold. The STOCH value of 80.58 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NL:ASM.

ASM International NV Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ASML	77 Outperform	€414.15B	44.73	53.85%	0.73%	22.77%	37.62%
ASM	73 Outperform	€29.69B	38.16	21.56%	0.58%	19.12%	42.78%
TWEKA	71 Outperform	€1.48B	23.26	7.75%	4.11%	-3.59%	-46.68%
BESI	64 Neutral	€13.04B	86.41	35.84%	1.65%	-5.75%	-17.63%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%