Is ASML HOLDING NV a Quality Business?
Analyzing business fundamentals using proven investment principles
Weak fundamentals with mixed indicators requiring careful analysis
📚 How We Measure Business Quality
The Zyberno Score answers one question: "Is this a quality business worth owning?"
We analyze 16 fundamental metrics across four key dimensions, using principles from
Warren Buffett, Benjamin Graham, Peter Lynch,
and Charlie Munger. Each category is worth 25 points for a total of 100.
This score measures business quality only — not whether the stock is cheap, what return you'll get, or when to buy. For that, see the Valuation Trilogy below.
💡 Quality Is Only Half the Picture
A high quality score means ASMLF shows strong business fundamentals.
But even the best business can be a poor investment at the wrong price.
As Warren Buffett says: "Price is what you pay, value is what you get."
To complete your analysis, examine our Valuation Trilogy:
📈 Price Action Check
Market trend context — not part of the Zyberno Score
The market has been actively rewarding ASMLF over the past year. Strong momentum on a quality business usually means the story is already being recognised — check the valuation signals above before paying up. Full momentum analysis →
Conclusion: Is ASMLF a Good Stock?
According to Zyberno's analysis, ASML HOLDING NV (ASMLF) is a Weak Business, earning a Zyberno Score of 34/100.
What drives ASMLF's score
Zyberno's analysis of ASMLF's fundamentals identifies the following key drivers. ROIC of 83.9% comfortably exceeds the cost of capital for most businesses, signaling that ASML HOLDING NV creates significant value on every dollar of capital deployed. With a debt-to-equity ratio of 0.04x, ASML HOLDING NV carries minimal leverage — a sign of financial conservatism that reduces risk in economic downturns. An interest coverage ratio of 95.5x means ASML HOLDING NV earns 96 times more operating income than it needs to service its debt — a strong indicator of financial safety.
The Brina Gap measures the difference between the growth a business can fundamentally sustain and the growth the market is already pricing in. ASML HOLDING NV's Brina Gap is -18.6% — the enterprise value implies the market expects much faster growth than the business can actually deliver based on its return on invested capital and reinvestment rate. This is a strong signal that forward compounding capacity is being significantly overestimated.
Zyberno's score and valuation reflect the direct output of the model — business quality from fundamentals, margin of safety from owner earnings, Brina Gap from the reverse DCF. The numbers are not adjusted toward the current price, analyst ratings, or market sentiment. The score measures the quality of the business. The valuation measures the price you pay for it.
Zyberno Verdict
According to Zyberno's model, ASML HOLDING NV (ASMLF) is a Weak Business with a Zyberno Score of 34/100.
❓ Frequently Asked Questions
What does ASMLF's Zyberno Score of 34/100 mean?
According to Zyberno's scoring model, a score of 34/100 places ASML HOLDING NV in the Weak Business category — weak fundamentals with mixed indicators requiring careful analysis. Zyberno's model scores 75–100 as excellent, 65–74 as good, 50–64 as average, 30–49 as below average, and below 30 as poor, based on the investment frameworks of Buffett, Graham, Lynch, and Munger. Note that a high quality score measures business fundamentals, not whether the stock is currently priced attractively — for that, see the margin of safety analysis.
What makes a stock "high quality"?
A high-quality stock typically exhibits: strong returns on equity and invested capital (indicating competitive advantages), healthy profit margins, low debt levels, ample liquidity, consistent cash flow generation, and sustainable growth. We analyze 16 key metrics across four categories - Profitability (ROE, ROIC, margins), Financial Strength (debt, liquidity, coverage), Cash Flow Quality (FCF, OCF vs earnings), and Growth & Consistency (revenue/profit trends, Piotroski score) - drawing from the investment philosophies of Buffett, Graham, Lynch, and Munger.
How is the quality score different from a stock rating?
Our quality score measures business fundamentals - how well the company operates, generates profits, and maintains financial health. Unlike analyst "buy/sell" ratings, we don't tell you whether to purchase the stock. A company can have excellent quality (great business) but poor investment potential (if overpriced), or vice versa. For valuation analysis, see our Margin of Safety page.
Why do you use Owner Earnings instead of regular earnings?
Owner Earnings, a concept popularized by Warren Buffett, represents the true cash available to shareholders after maintaining the business. Unlike accounting earnings, which can be manipulated through depreciation schedules and accruals, Owner Earnings = Operating Cash Flow minus Maintenance Capital Expenditures. This gives a clearer picture of what a business actually generates for its owners. Learn more about ASMLF's Owner Earnings.
How often is the quality score updated?
Quality scores are recalculated whenever new financial data becomes available, typically after quarterly earnings reports. The underlying metrics (ROE, ROIC, debt ratios, etc.) come from company filings and are updated as soon as they're reported. For the most comprehensive and up-to-date data, visit the full ASMLF stock report.
📊 Full ASMLF Stock Report
Complete financial data, charts, all 250+ metrics, and detailed analysis for ASML HOLDING NV.
🎯 ASMLF Earnings Surprise (SUE)
See whether ASML HOLDING NV is beating or missing its own earnings trend — Standardized Unexpected Earnings and post-earnings drift.
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