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ASML vs. AMKR: Which Semiconductor Equipment Stock Has an Edge Now?
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Key Takeaways
ASML and Amkor serve key AI chip roles, but Amkor is seen as the safer bet currently.
ASML faces DUV slowdown risks, though EUV growth and a EUR 38.8B backlog support outlook.
Amkor benefits from AI packaging demand, with computing revenues set to grow over 20% in 2026.
ASML Holding (ASML - Free Report) and Amkor Technology (AMKR - Free Report) are two key players in the AI infrastructure value chain serving widely different but crucial roles. While ASML specializes in lithography-based chip patterning, AMKR packages and tests finished chips.
Given their crucial role in the AI chip market, investors might be interested in knowing the prospects, business models, risk profiles and long-term outlook. Let’s break down how each company is performing and which one looks like the better investment right now.
The Case for ASML Stock
ASML, being the leading manufacturer of semiconductor lithography tools, is at the center of a major shift in advanced chip manufacturing. Global semiconductor chip manufacturers are now increasingly demanding extreme ultraviolet (EUV) lithography layers in both logic and DRAM manufacturing.
ASML is in the middle of a shift that is taking place in the advanced chip manufacturing space, as companies move from complex multi-patterning with deep ultraviolet (DUV) toward single-exposure EUV for simplifying production, improving yield, lowering process complexity and supporting advanced scaling
Although this means that ASML’s DUV business will be down throughout 2026, its EUV business is expected to grow rapidly. This will especially be true in the case of ASML’s Low Numerical Aperture EUV and High Numerical Aperture (High-NA) EUV products, as ASML holds a near-monopoly in EUV technology crucial for the world’s most advanced chips at 3nm and below.
ASML’s venture into sub-2nm production with High-NA EUV systems is the next technological leap for chipmakers. The EUV technology is experiencing the highest traction among DRAM customers, followed by high bandwidth memory and DDR. Higher adoption of EUV technology will also push the installed base revenues up. The company also ended 2025 with a €38.8 billion backlog, providing strong visibility in the revenue pipeline.
Nevertheless, ASML faces direct challenges from the ongoing trade tensions, policy unpredictability, and geopolitical developments affecting its customers’ visibility and confidence, particularly around long-term capital expenditure decisions. The Zacks Consensus Estimate for ASML’s 2026 top and bottom lines is expected to grow 19% and 21.7% year over year, respectively. The earnings estimates have been revised upward in the past 30 days.
Image Source: Zacks Investment Research
The Case for AMKR Stock
Amkor Technology is gaining from powerful secular tailwinds, particularly in AI-driven advanced packaging, while still facing meaningful near-term risks. The most significant growth driver is the accelerating demand for advanced packaging tied to artificial intelligence and high-performance computing.
Amkor Technology expects record advanced and computing revenues in 2026, with the company's 2.5D and high-density fan-out platforms to nearly triple in 2026, supported by new data center CPU programs and strong AI PC momentum. Computing revenues are projected to grow more than 20% this year, making it the primary engine of expansion.
Automotive is another bright spot, with strong growth in advanced driver-assistance systems, infotainment and in-vehicle computing. Even though global auto unit volumes are expected to remain roughly flat, semiconductor content per vehicle continues to rise, providing a structural uplift.
The Zacks Consensus Estimate for AMKR’s 2026 and 2027 revenues suggests growth of 8.2% and 5.5%, respectively. The Zacks Consensus Estimate for AMKR’s fiscal 2026 and 2027 earnings suggests growth of 8% and 29.7%, respectively. The estimates for fiscal 2026 and 2027 have been revised upward in the past 60 days.
Image Source: Zacks Investment Research
ASML vs. AMKR: Price Performance & Valuation Check
ASML shares have risen 88.1% in the past year, and AMKR has soared 131.9%.
One-Year Performance Chart
Image Source: Zacks Investment Research
On the valuation front, ASML trades at a forward 12-month price-to-sales (P/S) ratio of 11.76, higher than the median of 9.75. AMKR trades at a forward P/S multiple of 1.56, higher than its median of 1.06.
Forward 12-Month (P/S) Valuation Chart
Image Source: Zacks Investment Research
Conclusion: ASML vs. AMKR
While ASML Holding remains a world-class, near-monopoly business at the cutting edge of semiconductor manufacturing, Amkor Technology is gaining from AI-driven advanced packaging. However, ASML faces a risk of a possible decline in sales of DUV technology, and EUV has to catch up fast to offset it. Given this factor, AMKR is a safer bet now.
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ASML vs. AMKR: Which Semiconductor Equipment Stock Has an Edge Now?
Key Takeaways
ASML Holding (ASML - Free Report) and Amkor Technology (AMKR - Free Report) are two key players in the AI infrastructure value chain serving widely different but crucial roles. While ASML specializes in lithography-based chip patterning, AMKR packages and tests finished chips.
Given their crucial role in the AI chip market, investors might be interested in knowing the prospects, business models, risk profiles and long-term outlook. Let’s break down how each company is performing and which one looks like the better investment right now.
The Case for ASML Stock
ASML, being the leading manufacturer of semiconductor lithography tools, is at the center of a major shift in advanced chip manufacturing. Global semiconductor chip manufacturers are now increasingly demanding extreme ultraviolet (EUV) lithography layers in both logic and DRAM manufacturing.
ASML is in the middle of a shift that is taking place in the advanced chip manufacturing space, as companies move from complex multi-patterning with deep ultraviolet (DUV) toward single-exposure EUV for simplifying production, improving yield, lowering process complexity and supporting advanced scaling
Although this means that ASML’s DUV business will be down throughout 2026, its EUV business is expected to grow rapidly. This will especially be true in the case of ASML’s Low Numerical Aperture EUV and High Numerical Aperture (High-NA) EUV products, as ASML holds a near-monopoly in EUV technology crucial for the world’s most advanced chips at 3nm and below.
ASML’s venture into sub-2nm production with High-NA EUV systems is the next technological leap for chipmakers. The EUV technology is experiencing the highest traction among DRAM customers, followed by high bandwidth memory and DDR. Higher adoption of EUV technology will also push the installed base revenues up. The company also ended 2025 with a €38.8 billion backlog, providing strong visibility in the revenue pipeline.
Nevertheless, ASML faces direct challenges from the ongoing trade tensions, policy unpredictability, and geopolitical developments affecting its customers’ visibility and confidence, particularly around long-term capital expenditure decisions. The Zacks Consensus Estimate for ASML’s 2026 top and bottom lines is expected to grow 19% and 21.7% year over year, respectively. The earnings estimates have been revised upward in the past 30 days.
Image Source: Zacks Investment Research
The Case for AMKR Stock
Amkor Technology is gaining from powerful secular tailwinds, particularly in AI-driven advanced packaging, while still facing meaningful near-term risks. The most significant growth driver is the accelerating demand for advanced packaging tied to artificial intelligence and high-performance computing.
Amkor Technology expects record advanced and computing revenues in 2026, with the company's 2.5D and high-density fan-out platforms to nearly triple in 2026, supported by new data center CPU programs and strong AI PC momentum. Computing revenues are projected to grow more than 20% this year, making it the primary engine of expansion.
Automotive is another bright spot, with strong growth in advanced driver-assistance systems, infotainment and in-vehicle computing. Even though global auto unit volumes are expected to remain roughly flat, semiconductor content per vehicle continues to rise, providing a structural uplift.
The Zacks Consensus Estimate for AMKR’s 2026 and 2027 revenues suggests growth of 8.2% and 5.5%, respectively. The Zacks Consensus Estimate for AMKR’s fiscal 2026 and 2027 earnings suggests growth of 8% and 29.7%, respectively. The estimates for fiscal 2026 and 2027 have been revised upward in the past 60 days.
Image Source: Zacks Investment Research
ASML vs. AMKR: Price Performance & Valuation Check
ASML shares have risen 88.1% in the past year, and AMKR has soared 131.9%.
One-Year Performance Chart
Image Source: Zacks Investment Research
On the valuation front, ASML trades at a forward 12-month price-to-sales (P/S) ratio of 11.76, higher than the median of 9.75. AMKR trades at a forward P/S multiple of 1.56, higher than its median of 1.06.
Forward 12-Month (P/S) Valuation Chart
Image Source: Zacks Investment Research
Conclusion: ASML vs. AMKR
While ASML Holding remains a world-class, near-monopoly business at the cutting edge of semiconductor manufacturing, Amkor Technology is gaining from AI-driven advanced packaging. However, ASML faces a risk of a possible decline in sales of DUV technology, and EUV has to catch up fast to offset it. Given this factor, AMKR is a safer bet now.
AMKR and ASML carry a Zacks Rank #3 (Hold) each at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.