Why Is ASML Stock Up Again Today?

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ASML Holding (NASDAQ: ASML) banal got a humble 1.6% bump connected Monday, mislaid it each connected Tuesday, but is up again adjacent much connected Wednesday -- 6.1% done 11:25 a.m. ET. And why?

It whitethorn astonishment you to larn that I deliberation the aforesaid happening that didn't get capable attraction Monday is yet connected investors' radar today: The SpaceX (NASDAQ: SPCX) IPO is going to beryllium precise bully quality for ASML.

Missed Nvidia successful 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" awesome flashed for a little-known chipmaker called Nvidia. For the archetypal clip successful years, that aforesaid "Total Conviction" awesome is flashing for a institution 1/100th the size of Nvidia. Continue »

Chalkboard drafting  of an IPO and a rocketship going up.

Image source: Getty Images.

SpaceX is flush with currency present

SpaceX made past past week, some scoring a gigantic valuation (currently $2.5 trillion) and raising much than $80 cardinal successful cash.

Now SpaceX indispensable fig retired however to deploy each this currency to support the maturation going. And here's the thing: According to Canadian backstage equity store Lynx Equity, SpaceX volition walk rather a batch of this currency connected semiconductors.

Most investors deliberation of SpaceX arsenic a abstraction institution (I mean, it's close determination successful the name!) And yet, the gigantic tech institution that IPO'ed past week is truly overmuch much of an AI stock, arsenic SpaceX demonstrated conscionable yesterday erstwhile it splashed retired $60 cardinal successful banal to bargain Cursor.

What this means for ASML

As Lynx explains, AI companies bargain tons of AI chips to archetypal bid and past deploy their ample connection models to reply questions. SpaceX tin truthful beryllium expected to walk a important information of its IPO proceeds connected semiconductor chips.

In turn, companies similar Nvidia (NASDAQ: NVDA) and Intel (NASDAQ: INTC) (or their third-party contractors), which merchantability those chips to SpaceX, tin beryllium expected to walk heavy connected machines from ASML to marque them.

This makes ASML a large mode to play the SpaceX IPO phenomenon. And the champion quality of all? Even valued astatine conscionable 18 sales, ASML banal is inactive 7x cheaper than SpaceX!

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