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Top 5 Stocks to Buy at the end of April
ASML (ASML)
Tech stock and semiconductor company ASML (NASDAQ:ASML) is headquartered in the Netherlands. Like other “fabless” semiconductor businesses, it contracts out for its chip manufacturing. It also does not run a foundry that manufactures these semiconductors. Chips aren’t packaged and sent out from secure locations.
Instead, it manufactures the equipment used by semiconductor foundries to fabricate chips from silicon wafers, a process that no other company in the world can replicate.
Those foundry firms provide cutting-edge chips created specifically for fabless semiconductor businesses. The only currently available Extreme Ultraviolet Lithography (EUV) equipment is manufactured by ASML.
Each one of these devices is hundreds of millions of dollars and the size of a double-decker bus. That’s why ASML has a virtual stranglehold on the semiconductor manufacturing sector; replicating their processes would be too costly.
Instead of anticipating a revolutionary change from ASML in 2023, investors should keep an eye on the company’s sustained supremacy and potential for high profits. The corporation achieved its substantial, long-lasting advantage via the creative acquisition of core industry technologies.
