WallStSmart

ASML Holding NV ADR (ASML)vsAXT Inc (AXTI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

ASML Holding NV ADR generates 35035% more annual revenue ($33.69B vs $95.89M). ASML leads profitability with a 29.7% profit margin vs -14.7%. ASML appears more attractively valued with a PEG of 2.81. ASML earns a higher WallStSmart Score of 62/100 (C+).

ASML

Buy

62

out of 100

Grade: C+

Growth: 7.3Profit: 10.0Value: 3.0Quality: 7.5
Piotroski: 6/9Altman Z: 2.42

AXTI

Avoid

28

out of 100

Grade: F

Growth: 4.7Profit: 2.0Value: 4.0Quality: 7.5
Piotroski: 2/9Altman Z: 2.28

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ASML5 strengths · Avg: 9.6/10
Market CapQuality
$732.09B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
48.1%10/10

Every $100 of equity generates 48 in profit

Operating MarginProfitability
36.0%10/10

Strong operational efficiency at 36.0%

Profit MarginProfitability
29.7%9/10

Keeps 30 of every $100 in revenue as profit

Debt/EquityHealth
0.139/10

Conservative balance sheet, low leverage

AXTI2 strengths · Avg: 9.5/10
Revenue GrowthGrowth
39.1%10/10

Revenue surging 39.1% year-over-year

Debt/EquityHealth
0.269/10

Conservative balance sheet, low leverage

Areas to Watch

ASML4 concerns · Avg: 2.0/10
PEG RatioValuation
2.812/10

Expensive relative to growth rate

P/E RatioValuation
63.7x2/10

Premium valuation, high expectations priced in

Price/BookValuation
1465.8x2/10

Trading at 1465.8x book value

Free Cash FlowQuality
$-2.61B2/10

Negative free cash flow — burning cash

AXTI4 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
12.092/10

Expensive relative to growth rate

Price/BookValuation
20.8x2/10

Trading at 20.8x book value

Return on EquityProfitability
-5.1%2/10

ROE of -5.1% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull Case : ASML

The strongest argument for ASML centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 29.7% and operating margin at 36.0%. Revenue growth of 13.2% demonstrates continued momentum.

Bull Case : AXTI

The strongest argument for AXTI centers on Revenue Growth, Debt/Equity. Revenue growth of 39.1% demonstrates continued momentum.

Bear Case : ASML

The primary concerns for ASML are PEG Ratio, P/E Ratio, Price/Book. A P/E of 63.7x leaves little room for execution misses.

Bear Case : AXTI

The primary concerns for AXTI are Piotroski F-Score, PEG Ratio, Price/Book.

Key Dynamics to Monitor

ASML profiles as a mature stock while AXTI is a hypergrowth play — different risk/reward profiles.

AXTI carries more volatility with a beta of 1.76 — expect wider price swings.

AXTI is growing revenue faster at 39.1% — sustainability is the question.

AXTI generates stronger free cash flow (-13M), providing more financial flexibility.

Bottom Line

ASML scores higher overall (62/100 vs 28/100), backed by strong 29.7% margins and 13.2% revenue growth. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

ASML Holding NV ADR

TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA

ASML Holding NV develops, produces, markets, sells and services advanced semiconductor equipment systems consisting of lithography, metrology and inspection related systems for memory and logic chip manufacturers. The company is headquartered in Veldhoven, the Netherlands.

AXT Inc

TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA

AXT, Inc. designs, develops, manufactures and distributes single element and composite semiconductor substrates. The company is headquartered in Fremont, California.

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