With a global shortage of AI chips, AI demand rising exponentially and AI data centres taking years to come on line, profit margins are soaring.
He says the big selloff in recent weeks makes the AI supply chain a “perfect hunting ground” for stock pickers.
ASML has a 100 per cent monopoly on UV lithography essential to making leading edge chips. With 40 per cent compounded growth rate potential to the end of 2028 the stock ins trading on a forward PE multiple of cut 22 times after the selloff on Thursday and is now trading at the very bottom of its valuation range over the last decade.
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