Wolfe Research has reaffirmed an Outperform rating on ASML (ticker: ASML) and kept a price target of EUR1,400, citing the companys recent quarterly results and forward guidance. The research house highlighted fourth-quarter results that outpaced expectations and noted that first-quarter guidance came in significantly above consensus estimates.
ASML raised its calendar year 2026 revenue outlook, increasing the midpoint by 12% to €36.5 billion - a level that sits above consensus forecasts of €35.2 billion. Wolfe Research pointed to these revisions as consistent with its view of low-teens wafer fabrication equipment - WFE - growth for 2026, with an expectation that growth will accelerate in 2027.
Bookings for the fourth quarter totaled €13.2 billion, a substantial 85% increase from the same quarter a year earlier. Wolfe Research emphasized that the scale of these orders creates a solid base for 2026 revenue and establishes a head start for 2027, because a significant portion of the bookings are likely to ship in 2027.
While Wolfe Research flagged that the precise magnitude of any 2027 acceleration is still unclear, the firms read of the bookings commentary was constructive. It expects that consensus estimates will be revised upward in response to the results and guidance, and noted that the market reaction to the report - positive despite already-elevated expectations - suggests room for further share-price appreciation for ASML and potentially for the broader semiconductor equipment sector.
Additional coverage from market participants mirrored the upbeat tone on ASMLs order and revenue performance. The company reported record net revenue of €9.7 billion in the fourth quarter of 2025, a 5% increase year-over-year and a 29% increase sequentially, narrowly exceeding consensus of €9.6 billion. Orders for the quarter reached €13.2 billion, figures described as materially ahead of expectations.
Market participants have retained constructive ratings following the report. One firm reiterated an Overweight rating and set a $1,518 price target, citing exceptional order performance. Another maintained a Buy rating with a EUR1,454 price target after the earnings release. The revenue results also included the recognition of two High-NA systems, which contributors characterized as a positive element for the outlook. On a full-year basis, ASML posted a 16% increase in revenue.
Taken together, the quarter delivered both stronger near-term revenue and a sizeable order backlog supporting future shipments. Analysts expect upward revisions to consensus estimates, though some uncertainty remains about how rapidly growth will accelerate beyond 2026.