RE: "Can ASML really outshine AMAT?"
Yes! Lithography is the key front end technology. Maybe, 30% of front end equipment costs. When ASML bought SVGI in 2000, the CEO of SVGI mentioned that he could have bought ASML in 1993. It has come a long way. Now, it is gaining customers in Japan against Nikon, the former lithography leader, and Canon, because it has a big lead in immersion technology. It never had much of a presence in Japan before. If ASML continues to perform as it has, its managers are predicting dominant market share, 65%, 70%. Nikon and Canon have lucrative business opportunities elsewhere, cameras, scanners, printers, while ASML is solely devoted to photolithography.
My goal is to own equal dollar amounts of AMAT, ASML, KLAC, NVLS, ALTR, XLNX, LLTC, MXIM. Recent price volatility has played havoc with my goal. I will not bet on ASML to outshine AMAT. If it does, I will probably sell some ASML shares and buy AMAT shares to balance my holdings. |
