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ASML shares fall as China rival ships DUV lithography machines
ASML expects to ship 130 DUV systems in 2026, while its EUV monopoly remains the core supply bottleneck for next generation chips.
ASML’s stock slid after reports said a Chinese company began producing deep ultraviolet, or DUV, lithography machines that compete with the technology at the center of AI driven semiconductor demand, according to MarketBeat Ratings. The reports pointed to Shanghai Aishengna Electronic Technology Group as the rival, with ASML shares down 10% over two sessions and its 30 day pullback nearing bear market territory.
MarketBeat Ratings said Aishengna, founded in 2023, plans to ship five DUV lithography machines this year and 20 more tentatively scheduled for 2027, though details were limited. The company is described as a state sponsored conglomeration pulling teams across industries, and each DUV tool is said to cost upwards of $40 million per unit.
The source added that ASML’s near term competitive risk looks constrained because its primary advantage is extreme ultraviolet lithography, or EUV, at a 13.5 nanometer wavelength. It said Aishengna can produce DUV tools operating at a 193 nanometer wavelength, while next generation semiconductor density is linked to EUV.
MarketBeat Ratings also cited ASML’s latest guidance actions, noting the company raised full year revenue and gross margin guidance after its Q2 2026 earnings report in late June. It said Q2 system sales to China fell to 14% of net, from 19% in Q1, and that ASML plans capacity expansions of about 30% in 2027 alongside shipping 130 DUV machines in 2026.