What Chipmaking Equipment Giant ASML's Q3 Results Said About AI Demand, China Trade

Core Insights - ASML is optimistic about AI demand despite trade policy challenges, expecting 2026 sales to remain stable compared to 2025 levels, even with a significant decline in sales from China [1][4] - The company has reported a 46% increase in shares in 2025 so far, reflecting positive market sentiment [4] Company Performance - ASML's CEO noted ongoing positive momentum in AI investments, with an expanding customer base [2] - The company reported third-quarter earnings per share of 5.49 euros ($6.38), exceeding analysts' expectations, although revenue of 7.52 billion euros ($8.74 billion) fell short [3] - Current-quarter sales are projected between 9.2 billion and 9.8 billion euros ($10.7 billion and $11.4 billion), surpassing analyst consensus [4] Market Context - ASML's performance is indicative of the semiconductor industry's confidence, as it is a leading supplier of chipmaking equipment [3] - Following a downturn in the semiconductor sector, ASML and other semiconductor stocks, including Nvidia, Broadcom, AMD, and Lam Research, experienced gains [2][4]