Chip stocks: ASML's performance and analyst views

What happened: Chip stocks have been surging, with ASML reaching an all-time high of $1,743.27, up 133% over the past 52 weeks. Applied Materials (AMAT) also continues its bull run, trading at $448.25 as of May 27th, with Goldman Sachs owning around 0.31% of its portfolio. Analysts at Goldman Sachs and Nikhs's Substack have positive views on AMAT, citing robust AI demand and strong fundamentals.

Market impact: The semiconductor industry is experiencing a significant upswing, driven by increasing demand for AI and advanced manufacturing systems. ASML's strong performance has pushed the entire sector higher, with AMAT also benefiting from positive analyst sentiment. However, some analysts caution against being too overweight on chip stocks due to potential overvaluation.

What to watch next: Investors should closely monitor ASML's earnings, scheduled for July 21st, to gauge the company's performance and guidance. Additionally, keep an eye on AMAT's earnings, due on August 17th, for further insights into the company's growth prospects. Lastly, track any regulatory developments related to semiconductor manufacturing, as they could impact the sector's dynamics.