EUV lithography machines are at the epicenter of the AI computing shortage crisis; ASML Holding hits a new high, yet its valuation remains discounted by the market. - Moomoo

Dutch lithography giant ASML has seen its stock surge to new highs, becoming one of the few bright spots in the European market so far this year. Despite a 64% gain in 2026, its performance lags behin... Read original →

EUV lithography has become the physical bottleneck in AI compute scaling. ASML’s High-NA EUV ramp directly constrains TSMC’s sub-3nm yields and HBM4 ramp-up, delaying CoWoS advanced packaging capacity and cascading into AI data center deployment lags. Geopolitical friction amplifies supply chain fragility: while the U.S. hasn’t banned EUV exports to China, Dutch licensing delays force Samsung and SK Hynix to build costly redundant fabs in Korea. Competitors like Applied Materials and Lam Research are exploiting this by offering integrated etch-deposition clusters that reduce reliance on litho-centric scaling. If ASML doesn’t accelerate TeraFab modular fab deployments, it risks being sidelined by equipment integrators. Over the next 18 months, as Microsoft, Google, and Meta invest in AI agent infrastructure, the market will repricing ASML’s irreplaceability—today’s valuation discount reflects a timing mismatch, not fundamental weakness.