asml executes latest share buyback: what it means for investors
Veldhoven, Monday, 12 May 2025.
asml has released details on recent transactions made under its share buyback program. The program, initiated in november 2022, saw the company repurchase shares worth approximately €12.3 million each day between may 5 and may 9, 2025. This move aims to return capital to shareholders and reflects asml’s confidence in its financial health. The buyback program is compliant with market abuse regulations. Investors can find full details of the program on asml’s website.
daily buyback details
On May 5, 2025, ASML repurchased 20,273 shares at a weighted average price of €606.50, totaling €12,295,575 [1]. The following day, May 6, saw the repurchase of 20,496 shares at €599.87 each, amounting to €12,294,944 [1]. ASML continued its buyback on May 7, purchasing 20,304 shares at an average of €605.57, for a total of €12,295,416 [1]. The buyback activity persisted on May 8, with 19,537 shares repurchased at €629.35, also totaling €12,295,576 [1]. Finally, on May 9, the company bought back 19,485 shares at a weighted average price of €631.02, reaching €12,295,337 [1].
market reaction and stock performance
The share buyback announcement coincided with a positive market reaction, as ASML’s stock on Euronext Amsterdam closed at €666.90 on May 12, 2025, marking a 6.40% increase [7]. This surge reflects investor confidence potentially bolstered by the buyback program [1]. Earlier in the month, ASML’s stock experienced some volatility, with a 0.59% decrease on May 9 and a 0.87% decrease on May 6, but overall showed an upward trend, with increases of 4.27% on May 8 and 0.53% on May 7 [7]. The buyback may be intended to stabilize and enhance stock value amid these fluctuations.
institutional investor activity
Recent activity in ASML stock reveals interesting shifts in institutional investment. Riverbridge Partners LLC recently established a new position in ASML, valued at $1.9 million [4]. In the fourth quarter of 2024, a significant number of institutional investors adjusted their holdings in ASML, with 872 increasing their positions and 635 reducing theirs [4]. Notably, Jennison Associates LLC significantly reduced its ASML holdings by 1,460,680 shares, a 99.7% decrease, while Capital World Investors decreased their holdings by 1,301,979 shares, a 22.1% reduction [4]. JPMorgan Chase & Co., however, increased its position by 1,166,532 shares, an 82.0% increase [4].
analyst perspective and financial health
Analysts have mixed views on ASML. Citigroup issued a ‘Sell’ rating on February 19, 2025, while Jefferies issued a ‘Buy’ rating on January 9, 2025 [4]. ASML’s financial overview shows a market capitalization of $291.65 billion, with a revenue of $33.27 billion and a net income of $9.43 billion [7]. The company’s earnings per share (EPS) stand at $23.97, with a price-to-earnings (PE) ratio of 31.30 [7]. The forward PE ratio is 29.14, and the annual dividend is $6.74, yielding 0.90% [7]. Analysts have set a buy price target of $918.00, suggesting a potential upside of 22.37% [7].