ASML vs. ERIC: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at ASML and ERIC, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.
Company Overview
ASML dwarfs ERIC in market cap, clocking in at 289.86 billion USD—about 9.85 times the 29.42 billion USD of its counterpart.
ASML rides a wilder wave with a beta of 1.22, hinting at bigger swings than ERIC’s steadier 0.44.
Heads up: ASML and ERIC both roll as ADRs, bridging foreign companies to U.S. markets for a taste of global exposure.
| Symbol | ASML | ERIC |
|---|---|---|
| Company Name | ASML Holding N.V. | Telefonaktiebolaget LM Ericsson (publ) |
| Country | NL | SE |
| Sector | Technology | Technology |
| Industry | Semiconductors | Communication Equipment |
| CEO | Mr. Christophe D. Fouquet | Mr. Anthony F. Bartolo |
| Price | 737.17 USD | 8.86 USD |
| Market Cap | 289.86 billion USD | 29.42 billion USD |
| Beta | 1.221 | 0.437 |
| Exchange | NASDAQ | NASDAQ |
| IPO Date | March 15, 1995 | August 24, 1981 |
| ADR | Yes | Yes |
Performance Comparison
This chart compares the performance of ASML and ERIC over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).
Hover over the lines to see the investment’s value and total return (%) at specific dates.
Data is adjusted for dividends and splits.
Valuation Metrics Comparison
The section examines key financial ratios to assess the valuation of ASML and ERIC based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.
- ERIC has a notably high P/E of 175.59, where its market price commands a steep multiple of its earnings from the past year—indicating investors are pricing in significant future potential. On the flip side, ASML at 29.33 maintains a P/E within a more standard range, tied closer to its current profitability.
- ERIC has a negative Forward PEG of -63.26, suggesting analysts predict either a drop in earnings or no profits at all in the near future—a red flag for its growth trajectory. Meanwhile, ASML at 1.80 avoids such a pessimistic forecast.
| Symbol | ASML | ERIC |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 29.33 | 175.59 |
| Forward PEG Ratio (TTM) | 1.80 | -63.26 |
| Price-to-Sales Ratio (P/S, TTM) | 8.33 | 1.13 |
| Price-to-Book Ratio (P/B, TTM) | 14.58 | 3.29 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 27.56 | 6.71 |
| EV-to-EBITDA (TTM) | 21.78 | 6.11 |
| EV-to-Sales (TTM) | 8.15 | 1.12 |
| EV-to-Free Cash Flow (TTM) | 26.97 | 6.66 |
Dividend Comparison
Both ASML at 0.98% and ERIC at 3.28% pay dividends, blending income with growth in their strategies. Yet ERIC’s 3.28% yield, 233% above ASML’s 0.98%, suggests a focus on generous payouts—possibly from stronger profits—while ASML leans toward reinvestment, perhaps due to tighter margins.
| Symbol | ASML | ERIC |
|---|---|---|
| Dividend Yield (TTM) | 0.98% | 3.28% |
Financial Strength Metrics Comparison
This section dives into the financial resilience of ASML and ERIC, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.
- ASML posts an interest coverage of “--”, hinting at interest costs so low they’re negligible—often from scant debt or dirt-cheap rates—while ERIC at 6.76 handles interest with solid earnings.
| Symbol | ASML | ERIC |
|---|---|---|
| Current Ratio (TTM) | 1.52 | 1.09 |
| Quick Ratio (TTM) | 0.91 | 0.88 |
| Debt-to-Equity Ratio (TTM) | 0.21 | 0.49 |
| Debt-to-Assets Ratio (TTM) | 0.08 | 0.15 |
| Interest Coverage Ratio (TTM) | -- | 6.76 |