Key Points
- ASML’s market value has surpassed $500 billion, a first for the company. It is only the third European company to reach this milestone.
- The surge was triggered by a strong 2026 spending forecast from key customer TSMC.
- TSMC plans to spend up to $56 billion on new equipment, driven by the AI boom.
- ASML is the sole producer of cutting-edge lithography machines used to manufacture the most advanced chips.
ASML, the Dutch company that makes the world’s most advanced chip-making machines, just joined a very exclusive club. On Thursday, its market value surpassed $500 billion, making it only the third European company ever to reach that milestone. The surge in its stock price followed a surprise 2026 outlook from one of its largest customers, Taiwan Semiconductor Manufacturing Co. (TSMC).
TSMC announced plans to invest up to $56 billion in new equipment next year, more than anyone expected. This is a clear sign that the artificial intelligence boom is still in full swing, and that means big business for ASML.
ASML is the only company in the world that produces the cutting-edge lithography machines TSMC needs to manufacture the chips that power everything from iPhones to Nvidia’s AI accelerators.
ASML’s stock jumped as much as 7.6% on the news, hitting a record high. “The milestone means a lot for the market sentimentally,” said one strategist. “The rally in ASML also gives European investors a gateway to play the mainstream AI trade.”
While a $500 billion valuation is a huge achievement in Europe, it’s still a long way from the titans of Wall Street. Nvidia and Alphabet are both worth over $4 trillion. Still, ASML’s success is a great sign for the entire tech industry as we head into earnings season.
The company is due to report its own 2025 results on January 28. If TSMC’s optimism is any indication, it could be another record-breaking year for the quiet Dutch company at the heart of the global tech revolution.
