Prediction: ASML Stock Will Soar Over the Next 10 Years. Here's 1 Reason Why.

Group 1 - ASML has averaged annual gains of 27.7% over the past 10 years, turning a $5,000 investment into over $57,000, and is expected to continue this upward trend [1] - The company holds a near-monopoly on specialized lithography machines essential for producing high-performance chips, particularly in the booming data center market [1][2] - ASML is the only supplier of advanced extreme ultraviolet systems (EUVs), which are critical for semiconductor manufacturing [2] Group 2 - Approximately 95% of ASML lithography systems sold in the past 30 years are still active, leading to long-term service contracts and stable revenue [3] - The company's recent forward-looking price-to-earnings (P/E) ratio is 33, slightly below its five-year average of 34, indicating it is relatively fairly valued [4] - ASML's price-to-sales ratio is high at 11, and its beta of 1.28 suggests it is 28% more volatile than the overall market, making it more suitable for long-term investors [4] Group 3 - Investors bullish on semiconductors are encouraged to consider ASML for its strong market position and growth potential [5] - Despite ASML's strengths, it was not included in a list of the 10 best stocks identified by The Motley Fool Stock Advisor, which may suggest alternative investment opportunities [6][7]