At the time when rare earth control is on the rise, ASML Holding NV ADR (ASML.US) steadfastly supports the narrative of the "AI bull market."

The latest performance announced by the photolithography giant ASML Holding NV ADR (ASML Holding NV) shows that Q3 photolithography machine orders exceeded market expectations, and under the unprecedented global AI boom, the AI infrastructure arms race is still in full swing. The company's management remains optimistic about the impact of rare earth restrictions and performance growth expectations for 2026 to 2030. The Chief Financial Officer (CFO) of ASML Holding NV ADR stated that the company is prepared for China's restrictions on rare earth products and related technologies and equipment exports. With the start of the earnings season, ASML Holding NV ADR's outstanding performance undoubtedly reinforces the narrative of the "long-term AI bull market" in the global stock market and the "AI investment faith" of tech stock believers, signaling continued growth for companies like NVIDIA Corporation, Taiwan Semiconductor Manufacturing Co., Ltd. Sponsored ADR, Broadcom Inc., and Micron Technology, Inc. The leading global AI computing industry chain's "super bull market" is far from over, and this industry chain will continue to be the most favored investment sector globally in the near future. Following the release of ASML Holding NV ADR's performance, the ASML Holding NV ADR US ADR (ASML.US) stock rose more than 4% in pre-market trading, with similar gains in the European markets. The latest performance shows that ASML Holding NV ADR's third-quarter orders totaled 5.4 billion euros, higher than the market's general expectation of 4.9 billion euros, with the order volume of extreme ultraviolet lithography machines (EUV) reaching the highest level in nearly seven quarters. CEO of ASML Holding NV ADR, Christophe Fouquet, reiterated in the performance statement that with the help of the AI boom, the company's net annual sales are expected to increase significantly from last year's 28.3 billion euros to the long-term performance growth target of 60 billion euros by 2030. CEO Fouquet stated in the performance statement, "We are indeed seeing continued positive growth in AI spending and investment, and this momentum has extended to larger-scale customers. Our more advanced lithography equipment is expected to see stronger growth." Senior analyst Michael Roeg from Degroof Petercam stated after ASML Holding NV ADR's latest performance announcement that the company's management's latest guidance is "more enthusiastic" than previous comments. Roeg wrote in an email, "The outlook remains cautious, certainly because they expect a significant drop in lithography machine sales to the Chinese market by 2026. This must be offset by increased sales to the most advanced AI logic chip and storage chip customers by 2026." How does ASML Holding NV ADR view the "rare earth regulation"? During the highly anticipated Wednesday earnings conference call, ASML Holding NV ADR's management further expressed optimistic expectations. ASML Holding NV ADR's CEO Fouquet predicted during the call that the company's net sales in 2026 will not be lower than the strong levels in 2025. Regarding the impact of the rare earth regulation that has garnered global investor attention, CFO Roger Dassen stated on Wednesday that while it is difficult to assess the broader impact on the chip manufacturing ecosystem, the company has made "adequate preparations" for China's important restrictions on rare earth-related exports. According to new regulations announced last week, overseas companies will be required to obtain formal approval from Beijing before exporting products containing even trace amounts of specific rare earth materials of Chinese origin. Undoubtedly, ASML Holding NV ADR uses some rare earth materials from China in its magnet and battery supply system. Media reports last week cited an informed source familiar with the company's situation, stating that due to these restrictions, ASML Holding NV ADR's lithography machine shipments may face delays of several weeks. However, CFO Dassen downplayed these concerns during the earnings call with analysts. "Our lithography machine lead times are long, so in our supply chain system, we will also ensure that we have the necessary critical materials in the coming months. We have made adequate preparations for everything. The company's supply chain has enough materials to ensure our customer orders," Dassen said after the company announced its third-quarter performance. Some analysts suggest that the impact of this rare earth and magnet material export regulation on ASML Holding NV ADR is manageable in the short term, mainly reflecting "weekly-level" disruption in individual shipment timing. Considering the ongoing need for close ties between the Trump administration and the Chinese market, the probability of significant drag on ASML Holding NV ADR's mid-term (2026-2028) performance due to this regulation is low. Rather, it is seen as a supply chain execution risk rather than a "fundamental event" that disrupts the growth trajectory. This new policy marks Beijing's first major regulatory move in the global chip industry chain through external jurisdiction, especially concerning significant regulatory measures against foreign companies. Before this move, a series of actions by former U.S. President Donald Trump further escalated the U.S.-China trade war, with threats last Friday to impose additional 100% tariffs on China and impose export controls on key software. ASML Holding NV ADR's photolithography equipment is crucial for global semiconductor manufacturing. However, the company has long been caught in the crossfire of trade tensions between Beijing and Washington. Statistics show that net system sales in the Chinese market in the third quarter accounted for 42% of its total sales, higher than the 27% in the previous three months, making it the company's largest market for the quarter. Additionally, the Trump administration may further restrict ASML Holding NV ADR's sales in the Chinese market. Last week, the U.S. House Committee stated that ASML Holding NV ADR, along with other semiconductor equipment manufacturers like Applied Materials, is driving the development of the Chinese chip industry chain and called for stronger control over lithography machine sales. Due to U.S.-led restrictions, the company has never been able to sell its more advanced EUV lithography machines to China, with sales to China mainly focused on lithography equipment that supports mature processes. Last year, under pressure from the U.S. government, the Dutch government also blocked the sale of immersion deep ultraviolet lithography systems to China the company's second most advanced model. The "peak of human technology" signaling optimism, the AI bull market continues to sweep through global stock markets ASML Holding NV ADR, known as the "peak of human technology," with its latest strong performance and optimistic outlook for the future especially its reiteration of strong growth expectations until 2030 significantly reinforces the market's expectation of the continued strong momentum in the "AI computing industry chain." Since September, ASML Holding NV ADR's stock has significantly entered an upward trajectory catalyzed by the more expensive next-generation EUV lithography machine High-NA lithography machine transitioning from laboratory validation to chip manufacturing, as well as investments in Mistral AI. In September, ASML Holding NV ADR's US ADR (ASML.US) achieved its best performance in twenty years and has risen by 45% since 2025, with a more than 40% increase since September, with core logic behind investors hoping for accelerated construction of AI infrastructure to drive significant expansion of 3nm and below advanced AI chip production by companies like Taiwan Semiconductor Manufacturing Co., Ltd. Sponsored ADR, thereby boosting semiconductor equipment orders. Recent surges in prices of high-performance storage products in the global DRAM and NAND series, along with the cloud computing giant Oracle Corporation's announcement far surpassing market expectations with $455 billion in contract reserves, as well as the AI startup OpenAI reaching a deal worth over $1 trillion for AI computing infrastructure, have significantly reinforced the narrative of a "long-term bullish trend" in sectors such as AI GPUs, ASICs, HBM, data center SSD storage systems, liquid cooling systems, core power equipment, and other AI computing infrastructure sectors. The demand for AI computing power driven by generative AI applications and AI smart agents is expected to spur exponential growth in the AI computing infrastructure market, with AI reasoning systems being NVIDIA Corporation's largest revenue source according to Huang Renxun's projections. According to Wall Street financial giants Morgan Stanley, Citigroup, Loop Capital, and Wedbush, the global investment wave in AI computing infrastructure centered around hardware is far from over and is just beginning. Fueled by an unprecedented "AI computing demand storm," this round of AI investment wave could reach a scale of $2-3 trillion. NVIDIA Corporation's CEO Huang Renxun further predicts that by 2030, AI infrastructure spending will reach $3-4 trillion, offering significant long-term growth opportunities for NVIDIA Corporation. Recently, senior analysts at Citigroup have significantly increased their forecasts for global tech giants' AI infrastructure spending, including Microsoft Corporation, Alphabet Inc. Class C, Amazon.com, Inc., Meta, and SAP, raising the 2026 AI infrastructure spending forecast from $420 billion to $490 billion. Meanwhile, Citigroup expects cumulative AI infrastructure spending by tech giants by 2029 will increase from the previously estimated $2.3 trillion to $2.8 trillion, with global AI infrastructure's compound annual growth rate expected to reach 56%. Moreover, according to the research report, global demand for AI computing power until 2030 will require an additional 55 gigawatts of power capacity, which is expected to an incremental AI computing-related expenditure scale of up to $2.8 trillion, with the U.S. market accounting for $1.4 trillion. Wells Fargo & Company recently released a bullish research report on the semiconductor equipment industry, stating that as tech giants like Microsoft Corporation, Alphabet Inc. Class C, and Meta lead the way in global AI infrastructure construction, accelerating the expansion of 3nm and below advanced process chip production and advanced packaging capacity, the long-term bull market logic for the semiconductor equipment sector remains very strong. ASML Holding NV ADR is one of the semiconductor equipment stocks that Wells Fargo & Company is long-term bullish on. Wells Fargo & Company stated that all news catalyzing advanced process AI chip production is positive and favorable for semiconductor equipment. More complicated architecture updates and much more powerful CPU/GPU packaging heterogeneity (based on NVLink interconnection, as well as CoWoS/EMIB/Foveros and other chiplet advanced packaging) will significantly boost the structural demand for EUV/High-NA lithography machines, advanced packaging equipment, and detection measurement devices, favoring companies like ASML Holding NV ADR, Applied Materials, and KLA among semiconductor equipment manufacturers.