{"schemaVersion":1,"research":true,"symbol":"asml","name":"ASML","topic":"moat","path":"/stock/asml/moat","status":"published","version":6,"updatedAt":"2026-10-19T13:03:51.133Z","locked":false,"publicFairValue":false,"fairValue":null,"moat":{"verdict":"narrow","summary":"ASML has an evidenced technology moat reinforced by installed-system upgrades and support. Lengthy development, delivered equipment and reported qualification on select customer production layers demonstrate a current advantage. Growing service and upgrade revenue strengthens evidence of customer dependence. Pricing power remains mixed: negotiated discounts coexist with protected contract terms and resilient margins, whose improvement management attributes partly to upgrade demand. The catalog does not establish competitive exclusivity or exceptional long-term durability.","advantages":[{"mechanism":"intangible_assets","claim":"Specialized knowledge and complex development create a technology barrier supported by delivered systems and customer qualification. The 2026 presentation reports qualification of High NA EUV on select Intel 18A product layers, extending the evidence beyond initial delivery.","durability":"Almost ten years of development before full-specification delivery supports persistence. Select-layer qualification demonstrates progress, but does not establish broad adoption or sustained production economics across customers.","risks":"IP misappropriation has occurred. Specialized supplier dependence, export restrictions and technical performance limitations can constrain commercialization. The reported EXE:5000A test limitation concerns a specific earlier system and does not establish failure of subsequent models.","invalidation":"The advantage would be undermined by demonstrated competing processes matching its production economics and performance, repeated failure to achieve customer qualification, or sustained loss of adoption because ASML cannot deliver required productivity.","competitors":[],"evidenceIds":["e1","e2","e3","e4","e5","e6","e7","e8"],"counterEvidenceIds":["e9","e10","e11","e12","e13","e14","e15","e16"]},{"mechanism":"switching_costs","claim":"Platform-specific upgrades, service and long support commitments embed ASML in customers' equipment lifecycles. Rising installed-base revenue demonstrates continuing engagement; the magnitude of switching costs is inferred rather than directly measured.","durability":"Support commitments extending to at least 2035 for PAS and continued upgrade purchases support a multiyear relationship. They do not guarantee exclusive servicing or future purchases.","risks":"Export controls can limit support. Customers can delay spending, and demand linked to capacity expansion can weaken. Upgrade revenue growth does not itself prove customer inability to switch.","invalidation":"The mechanism would weaken if customers broadly replaced ASML platforms or obtained equivalent upgrades and support elsewhere without material disruption, or if service and upgrade demand persistently declined relative to the installed base because customers disengaged.","competitors":[],"evidenceIds":["e17","e18","e19","e20","e21","e22","e23","e24"],"counterEvidenceIds":["e20","e25","e26"]}],"evidence":[{"id":"e1","sourceId":"filing-2","location":"Intellectual property protection: issuer description of knowledge advantage","excerpt":"Our specific knowledge gives \nus a leading edge and a head \nstart over competitors."},{"id":"e2","sourceId":"filing-1","location":"CEO discussion: NXE:3800E adoption and productivity","excerpt":"NXE:3800E system which continues to be \nadopted by advanced Logic and DRAM \ncustomers due to its higher productivity and"},{"id":"e3","sourceId":"filing-1","location":"CEO discussion: High NA development duration","excerpt":"development. After almost 10 years of"},{"id":"e4","sourceId":"filing-1","location":"CEO discussion: High NA development work","excerpt":"tremendous work from so many people in"},{"id":"e5","sourceId":"filing-1","location":"CEO discussion: first EXE system release","excerpt":"ASML, we have released our first TWINSCAN"},{"id":"e6","sourceId":"filing-1","location":"CEO discussion: EXE:5200B full-specification delivery","excerpt":"EXE:5200B in full specification to our \nfirst customer."},{"id":"e7","sourceId":"filing-9","location":"Q2 2026 presentation, page 6: High NA readiness milestone and customer statement","excerpt":"Page 6July 15, 2026 Public High NA EUV reaches new readiness milestone with first high-volume Logic product “This milestone reflects the close technical collaboration between Intel and ASML and shows how High NA EUV can be integrated into advanced semiconductor manufacturing at scale."},{"id":"e8","sourceId":"filing-9","location":"Q2 2026 presentation, page 6: customer statement on select Intel 18A layer qualification","excerpt":"By qualifying the High NA EUV process option on select Intel 18A product layers, our existing fleet of tools are providing customers with increased output, while we develop future options to achieve leading-edge performance, density and manufacturing flexibility on upcoming nodes.”"},{"id":"e9","sourceId":"filing-2","location":"Risk factors: experienced misappropriation attacks","excerpt":"We have experienced and may in the future experience"},{"id":"e10","sourceId":"filing-2","location":"Risk factors: parties involved in misappropriation attacks","excerpt":"misappropriation attacks by third parties or our employees,"},{"id":"e11","sourceId":"filing-1","location":"Supplier risk: economically impractical multisourcing of specialized EUV parts","excerpt":"where the complexity and uniqueness of parts often make multi-\nsourcing economically impractical."},{"id":"e12","sourceId":"filing-1","location":"Supplier risk: critical optics supplier","excerpt":"Furthermore, if Carl Zeiss SMT were"},{"id":"e13","sourceId":"filing-1","location":"Supplier risk: termination or prolonged optics production interruption","excerpt":"to terminate its supply relationship with us or be unable to maintain"},{"id":"e14","sourceId":"filing-1","location":"Supplier risk: consequence of prolonged optics interruption","excerpt":"production of optics over a prolonged period, we would effectively"},{"id":"e15","sourceId":"filing-1","location":"Supplier risk: potential inability to conduct business","excerpt":"cease to be able to conduct our business."},{"id":"e16","sourceId":"filing-1","location":"Energy measurement disclosure: EXE:5000A could not run at full throughput during test","excerpt":"was not capable of running at full throughput"},{"id":"e17","sourceId":"filing-1","location":"Circular economy: refresh packages","excerpt":"We develop refresh packages to maintain"},{"id":"e18","sourceId":"filing-1","location":"Circular economy: adapting systems to customer requirements","excerpt":"adapted to new customer requirements."},{"id":"e19","sourceId":"filing-1","location":"Circular economy: PAS service roadmap","excerpt":"We offer PAS customers a service roadmap"},{"id":"e20","sourceId":"filing-1","location":"Circular economy: PAS roadmap guaranteed until at least 2035","excerpt":"guaranteed until at least 2035. For each"},{"id":"e21","sourceId":"filing-1","location":"Circular economy: support commitments subject to export controls","excerpt":"at least the committed date, subject to export \ncontrol limitations."},{"id":"e22","sourceId":"filing-4","location":"Q3 2026 statements: quarterly and nine-month sales, operating results and share counts","excerpt":"Three months ended Nine months ended Sep 28, Sep 27, Sep 28, Sep 27, (Unaudited, €, in millions, except per share data) 2025 2026 2025 2026 Net system sales 5,553.8 8,373.2 16,890.3 21,217.3 Net service and field option sales 1,962.2 3,288.8 6,058.9 8,538.1 Total net sales 7,516.0 11,662.0 22,949.2 29,755.4 Total cost of sales (3,635.7) (4,962.2) (10,759.7) (13,375.1) Gross profit 3,880.3 6,699.8 12,189.5 16,380.3 Research and development costs (1,108.7) (1,174.4) (3,436.5) (3,635.9) Selling, general and administrative costs (303.2) (352.6) (882.5) (957.6) Income from operations 2,468.4 5,172.8 7,870.5 11,786.8 Gain (loss) on equity investments — 509.7 — 509.7 Interest and other, net 19.4 68.2 93.3 139.0 Income before income taxes 2,487.8 5,750.7 7,963.8 12,435.5 Income tax expense (442.2) (925.0) (1,394.7) (2,081.2) Income after income taxes 2,045.6 4,825.7 6,569.1 10,354.3 Profit related to equity method investments 78.9 134.7 200.7 280.4 Net income 2,124.5 4,960.4 6,769.8 10,634.7 Basic net income per ordinary share 5.49 12.95 17.39 27.67 Diluted net income per ordinary share 5.48 12.93 17.38 27.64 Weighted average number of ordinary shares (in millions) used in computing per share amounts: Basic 387.3 383.1 389.2 384.3 Diluted 387.6 383.5 389.5 384.7 Summary US GAAP Quarterly Summary US GAAP Notes Forward Looking Statements ASML Financial statements US GAAP Q3 2026 2 Consolidated Statements of Operations Ratios and Other Data Consolidated Balance Sheets Consolidated Statements of Cash Flows Summary US GAAP Consolidated Statements of Operations"},{"id":"e23","sourceId":"filing-5","location":"Q3 2026 CEO statement: installed-base sales and productivity upgrade demand","excerpt":"Installed Base Management sales1 came in above guidance at €3.3 billion as a result of the continued strong demand for productivity upgrades."},{"id":"e24","sourceId":"filing-1","location":"Revenue recognition: main portion of sales from volume purchase agreements","excerpt":"The main portion of our net sales is derived from volume purchase agreements with our customers that have multiple"},{"id":"e25","sourceId":"filing-1","location":"Risk factors: realized capital spending declines at some customers","excerpt":"customers have declined compared to prior years and we have"},{"id":"e26","sourceId":"filing-1","location":"Risk factors: experienced changes in order timing","excerpt":"experienced changes in timing of orders from certain customers,"},{"id":"e27","sourceId":"filing-1","location":"Revenue recognition: customer discounts in volume agreements","excerpt":"In our volume purchase agreements we offer customers discounts in the"},{"id":"e28","sourceId":"filing-1","location":"Revenue recognition: discounts in normal sales negotiations","excerpt":"normal course of sales negotiations."},{"id":"e29","sourceId":"filing-1","location":"Revenue recognition: possible free goods in volume agreements","excerpt":"As part of these volume purchase agreements, we may also offer free goods or"},{"id":"e30","sourceId":"filing-1","location":"Revenue recognition: possible services and future purchase credits","excerpt":"services and credits that can be used toward future purchases."},{"id":"e31","sourceId":"filing-1","location":"Revenue recognition: cancellation penalties providing economic protection","excerpt":"typically include cancellation penalties that provide economic protection from the risk of customer cancellation."},{"id":"e32","sourceId":"filing-1","location":"Revenue recognition: sales agreement return restrictions","excerpt":"Our sales agreements do not include"},{"id":"e33","sourceId":"filing-1","location":"Revenue recognition: returns limited to failure to meet specifications","excerpt":"a right of return for any reason other than not meeting the agreed-upon specifications."},{"id":"e34","sourceId":"filing-4","location":"Q3 2026 ratios: margins and lithography system units","excerpt":"Three months ended Nine months ended Sep 28, Sep 27, Sep 28, Sep 27, (Unaudited) 2025 2026 2025 2026 Gross margin 51.6 % 57.5 % 53.1 % 55.0 % Income from operations as a percentage of net sales 32.8 % 44.4 % 34.3 % 39.6 % Net income as a percentage of net sales 28.3 % 42.5 % 29.5 % 35.7 % Income taxes as a percentage of income before income taxes 17.8 % 16.1 % 17.5 % 16.7 % Shareholders’ equity as a percentage of total assets 42.1 % 37.4 % 42.1 % 37.4 % Sales of lithography systems (in units) 1 72 121 225 291 Number of payroll employees (in FTEs) 43,461 44,681 43,461 44,681 Number of temporary employees (in FTEs) 789 1,078 789 1,078 1."},{"id":"e35","sourceId":"filing-7","location":"Q2 2026 ratios: first-half and quarterly margin comparisons","excerpt":"Three months ended Six months ended Jun 29, Jun 28, Jun 29, Jun 28, (Unaudited) 2025 2026 2025 2026 Gross margin 53.7 % 54.0 % 53.8 % 53.5 % Income from operations as a percentage of net sales 34.6 % 37.1 % 35.0 % 36.6 % Net income as a percentage of net sales 29.8 % 31.3 % 30.1 % 31.4 % Income taxes as a percentage of income before income taxes 18.1 % 17.5 % 17.4 % 17.3 % Shareholders’ equity as a percentage of total assets 39.3 % 43.5 % 39.3 % 43.5 % Sales of lithography systems (in units) 1 76 91 153 170 Number of payroll employees (in FTEs) 43,193 43,938 43,193 43,938 Number of temporary employees (in FTEs) 870 696 870 696 1."},{"id":"e36","sourceId":"filing-1","location":"2025 financial KPIs: annual margins, sales, cash generation and liquidity","excerpt":"Roger Dassen\nExecutive Vice President and Chief Financial Officer\n STRATEGIC REPORT\nCORPORATE GOVERNANCE\nSUSTAINABILITY\nFINANCIALS\nASML Annual Report 2025\n54\nAt a glance\nQ&A with the CEO\nOur business\nFinancial performance\nRisk and security\nFinancial performance KPIs\n Sales\nProfitability\nLiquidity\nTotal net sales\nGross profit\n% of total net sales\nCash and cash equivalents and short-term investments (year end)\n€32.7bn\n€17.3bn\n52.8%\n€13.3bn\n2024: €28.3bn\n2024: €14.5bn\n2024: 51.3%\n2024: €12.7bn\nNet system sales\nIncome from operations\nNet cash provided by operating activities\n€24.5bn\n€11.3bn\n34.6%\n€12.7bn\n2024: €21.8bn\n2024: €9.0bn\n2024: 31.9%\n2024: €11.2bn\nNet service and field option sales\nNet income\nFree cash flow2\n€8.2bn\n€9.6bn\nSales of our lithography systems, services and other holistic"},{"id":"e37","sourceId":"filing-5","location":"Q3 2026 CEO statement: upgrade demand contribution to gross margin","excerpt":"This drove the gross margin above guidance at 57.5%."},{"id":"e38","sourceId":"filing-4","location":"Q3 2026 cash flows: actual investments, dividends, treasury purchases and debt repayment","excerpt":"Cash flows from operating activities Net income 2,124.5 4,960.4 6,769.8 10,634.7 Adjustments to reconcile net income to net cash flows from operating activities: Depreciation and amortization 274.6 262.9 770.8 769.1 Impairment and loss (gain) on disposal 3.1 10.7 21.7 19.4 Share-based compensation expense 57.7 73.2 146.7 162.8 Inventory reserves 138.6 79.5 297.9 276.0 Deferred tax expense (benefit) (55.3) 54.1 61.9 32.2 Equity investments — (508.8) — (508.8) Equity method investments (80.8) (143.4) (206.4) (306.6) Changes in assets and liabilities (1,903.3) 7,009.0 (6,614.2) 236.2 Net cash provided by (used in) operating activities 559.1 11,797.6 1,248.2 11,315.0 Cash flows from investing activities Purchase of property, plant and equipment (295.9) (413.3) (1,125.7) (1,115.1) Purchase of intangible assets (19.5) (33.9) (35.1) (140.4) Purchase of short-term investments 3.5 (4,595.1) 3.5 (5,499.0) Maturity of short-term investments — 800.4 — 1,200.8 Purchase of equity investments (1,210.0) (405.7) (1,210.0) (409.9) Loans issued and other investments (405.9) (39.5) (404.2) (138.5) Repayment on loans — 0.6 — 1.7 Net cash provided by (used in) investing activities (1,927.8) (4,686.5) (2,771.5) (6,100.4) Three months ended Nine months ended Sep 28, Sep 27, Sep 28, Sep 27, (Unaudited,€, in millions) 2025 2026 2025 2026 Cash flows from financing activities Dividend paid (619.6) (721.3) (1,931.2) (2,376.8) Purchase of treasury shares (172.2) (4,071.0) (4,250.0) (6,148.4) Net proceeds from issuance of shares 35.3 36.8 109.7 108.5 Net proceeds from issuance of borrowings 15.0 — 15.0 — Repayment of debt and finance lease obligations (0.5) (1,000.4) (0.7) (1,693.7) Net cash provided by (used in) financing activities (742.0) (5,755.9) (6,057.2) (10,110.4) Net cash flows (2,110.7) 1,355.2 (7,580.5) (4,895.8) Effect of changes in exchange rates on cash (6.3) 3.8 (28.9) 10.7 Net increase (decrease) in cash and cash equivalents (2,117.0) 1,359.0 (7,609.4) (4,885.1) Cash and cash equivalents at beginning of the period 7,243.5 6,671.9 12,735.9 12,916.0 Cash and cash equivalents at end of the period 5,126.5 8,030.9 5,126.5 8,030.9 Three months ended Nine months ended Sep 28, Sep 27, Sep 28, Sep 27, (Unaudited,€, in millions) 2025 2026 2025 2026 Summary US GAAP Quarterly Summary US GAAP Notes Forward Looking Statements ASML Financial statements US GAAP Q3 2026 5 Consolidated Statements of Operations Ratios and Other Data Consolidated Balance Sheets Consolidated Statements of Cash Flows Summary US GAAP Consolidated Statements of Cash Flows"},{"id":"e39","sourceId":"filing-4","location":"September 2026 balance sheet: liquidity, receivables, loans and contract liabilities","excerpt":"Dec 31, Sep 27, (Unaudited, €, in millions) 2025 2026 Assets Cash and cash equivalents 12,916.0 8,030.9 Short-term investments 405.9 4,704.2 Accounts receivable, net 3,023.0 9,252.8 Finance receivables, net 613.5 674.8 Current tax assets 88.9 145.4 Contract assets 440.6 453.4 Inventories, net 11,429.3 11,907.3 Loans receivable 266.1 303.0 Other assets 1,432.8 1,554.1 Total current assets 30,616.1 37,025.9 Finance receivables, net 13.3 — Deferred tax assets 1,719.4 1,688.2 Loans receivable 1,653.9 1,782.5 Other assets 1,057.1 1,547.5 Equity investments 1,320.7 2,239.4 Equity method investments 822.6 1,129.2 Goodwill 4,588.6 4,588.6 Other intangible assets, net 540.1 582.5 Property, plant and equipment, net 7,893.8 8,077.3 Right-of-use assets 341.0 320.1 Total non-current assets 19,950.5 21,955.3 Total assets 50,566.6 58,981.2 Dec 31, Sep 27, (Unaudited, €, in millions) 2025 2026 Liabilities and shareholders’ equity Current liabilities 24,263.9 24,904.3 Total current liabilities 24,263.9 24,904.3 Long-term debt 2,709.0 1,963.0 Deferred and other tax liabilities 183.0 289.2 Contract liabilities 3,366.3 9,300.6 Accrued and other liabilities 432.2 460.2 Total non-current liabilities 6,690.5 12,013.0 Total liabilities 30,954.4 36,917.3 Total shareholders’ equity 19,612.2 22,063.9 Total liabilities and shareholders’ equity 50,566.6 58,981.2 Summary US GAAP Quarterly Summary US GAAP Notes Forward Looking Statements ASML Financial statements US GAAP Q3 2026 4 Consolidated Statements of Operations Ratios and Other Data Consolidated Balance Sheets Consolidated Statements of Cash Flows Summary US GAAP Consolidated Balance Sheets"},{"id":"e40","sourceId":"filing-7","location":"First-half 2026 cash flows: working capital use and shareholder distributions","excerpt":"Cash flows from operating activities Net income 2,290.3 2,917.6 4,645.3 5,674.3 Adjustments to reconcile net income to net cash flows from operating activities: Depreciation and amortization 254.9 246.9 496.2 506.3 Impairment and loss (gain) on disposal 16.5 8.2 18.6 8.7 Share-based compensation expense 49.0 58.5 89.0 89.6 Inventory reserves 99.7 116.3 159.3 196.5 Deferred tax expense (benefit) 38.1 20.1 117.2 (22.0) Equity method investments (90.7) (49.9) (125.6) (163.2) Changes in assets and liabilities (1,910.1) (1,614.7) (4,710.9) (6,772.7) Net cash provided by (used in) operating activities 747.7 1,703.0 689.1 (482.5) Cash flows from investing activities Purchase of property, plant and equipment (414.8) (299.4) (829.8) (701.8) Purchase of intangible assets (14.1) (86.6) (15.6) (106.6) Purchase of short-term investments — (903.9) — (903.9) Maturity of short-term investments — 400.4 — 400.4 Purchase of equity investments — (2.4) — (4.2) Loans issued and other investments 0.9 (34.8) 1.7 (99.0) Repayment on loans — 0.4 — 1.1 Net cash provided by (used in) investing activities (428.0) (926.3) (843.7) (1,414.0) Three months ended Six months ended Jun 29, Jun 28, Jun 29, Jun 28, (Unaudited,€, in millions) 2025 2026 2025 2026 Cash flows from financing activities Dividend paid (714.4) (1,038.5) (1,311.6) (1,655.5) Purchase of treasury shares (1,485.2) (1,077.5) (4,077.8) (2,077.5) Net proceeds from issuance of shares 36.4 36.7 74.4 71.7 Repayment of debt and finance lease obligations (0.6) (0.3) (0.2) (693.2) Net cash provided by (used in) financing activities (2,163.8) (2,079.6) (5,315.2) (4,354.5) Net cash flows (1,844.1) (1,302.9) (5,469.8) (6,251.0) Effect of changes in exchange rates on cash (10.8) 4.4 (22.6) 6.9 Net increase (decrease) in cash and cash equivalents (1,854.9) (1,298.5) (5,492.4) (6,244.1) Cash and cash equivalents at beginning of the period 9,098.4 7,970.4 12,735.9 12,916.0 Cash and cash equivalents at end of the period 7,243.5 6,671.9 7,243.5 6,671.9 Three months ended Six months ended Jun 29, Jun 28, Jun 29, Jun 28, (Unaudited,€, in millions) 2025 2026 2025 2026 Summary US GAAP Quarterly Summary US GAAP Notes Forward Looking Statements ASML Financial statements US GAAP Q2 2026 5 Consolidated Statements of Operations Ratios and Other Data Consolidated Balance Sheets Consolidated Statements of Cash Flows Summary US GAAP Consolidated Statements of Cash Flows"},{"id":"e41","sourceId":"filing-1","location":"Remuneration report: completed 2023–2025 LTI cycle","excerpt":"the LTI 2023–2025 series, ASML exceeded"},{"id":"e42","sourceId":"filing-1","location":"Remuneration report: performance against LTI targets","excerpt":"target on all performance measures –"},{"id":"e43","sourceId":"filing-1","location":"Remuneration report: shareholder return, cash conversion, technology and ESG measures","excerpt":"Relative Total Shareholder Return (rTSR), \nCash Conversion Rate, Technology \nLeadership Index and ESG."},{"id":"e44","sourceId":"filing-1","location":"Remuneration report: reported LTI vesting result","excerpt":"LTI result is a vesting of 137.4% of target."},{"id":"e45","sourceId":"filing-1","location":"2025 remuneration policy: three-year performance period","excerpt":"performance targets during a three-year period,"},{"id":"e46","sourceId":"filing-1","location":"2025 remuneration policy: subsequent two-year holding period","excerpt":"after which a two-year holding period applies."},{"id":"e47","sourceId":"filing-1","location":"2025 implementation: LTI 2025–2027 performance weightings","excerpt":"2025 Implementation\nLTI 2025-2027 target levels\nCEO\nOther BoM \nmembers\nLTI 2025-2027 performance \nmeasure weighting\n25%\n40%\n35%\nRelative TSR\n25%\nFinancial strategic value drivers\n35%\nNon-financial measures\n40%\nA detailed breakdown of the LTI \n2023-2025 vesting levels can be found"},{"id":"e48","sourceId":"filing-1","location":"Share capital: no special voting rights on issued shares","excerpt":"There are no special voting rights on the issued shares in our share capital."},{"id":"e49","sourceId":"filing-1","location":"Share issuance: Board of Management authority","excerpt":"Our Board of Management has the power to issue ordinary shares and cumulative preference shares insofar as it has"},{"id":"e50","sourceId":"filing-1","location":"Share issuance: General Meeting authorization","excerpt":"been authorized to do so by the General Meeting."},{"id":"e51","sourceId":"filing-1","location":"Share issuance: supervisory approval requirement","excerpt":"The Board of Management requires approval of the Supervisory"},{"id":"e52","sourceId":"filing-1","location":"Share issuance: Supervisory Board approval","excerpt":"Board for such an issue. The authorization by the General Meeting can only be granted for a certain period not\nIn \nthat case, we are obliged to effect the repurchase and respective cancellation as soon as possible."},{"id":"e53","sourceId":"filing-1","location":"Preference shares: Foundation repurchase or cancellation process","excerpt":"If the Foundation does not request that we repurchase or cancel all cumulative preference shares held by the"},{"id":"e54","sourceId":"filing-1","location":"Preference shares: 20-month period and General Meeting requirement","excerpt":"Foundation within 20 months of issuance of these shares, we will be required to convene a General Meeting for the"},{"id":"e55","sourceId":"filing-1","location":"Documents on display: foreign private issuer exemptions","excerpt":"As a ‘foreign private issuer’, we are exempt"},{"id":"e56","sourceId":"filing-1","location":"Documents on display: proxy disclosure and procedure exemptions","excerpt":"from the rules under the Exchange Act prescribing certain disclosure and procedural requirements for proxy"},{"id":"e57","sourceId":"filing-1","location":"Documents on display: scope of proxy exemptions","excerpt":"solicitations, and our officers, directors and principal shareholders are exempt from the reporting and ‘short-swing’"},{"id":"e58","sourceId":"filing-2","location":"Export controls: EUV sales subject to licensing","excerpt":"Sales of ASML’s EUV systems are also subject"}],"changes":["Retained the narrow verdict after reassessing the current catalog; stronger 2026 results do not establish competitive exclusivity or exceptional durability.","Added reported High NA qualification on select Intel 18A product layers. This strengthens commercialization evidence but does not establish broad customer deployment.","Updated customer engagement and margin evidence through Q3 2026: nine-month service and field option sales reached €8.538 billion, and gross margin reached 55.0%, versus 53.1% in the comparable period.","Expanded capital discipline analysis to actual 2026 investment, distributions, debt repayment and working-capital movements. Retained a mixed grade because cash generation is uneven and investment returns remain incompletely established.","Re-established all criterion citations from the supplied catalog; no prior evidence identifiers or grades were treated as evidence."],"limitations":["All sources are issuer filings. Customer testimony appears within an issuer presentation; it is attributed customer evidence, not independently verified research.","The catalog names companies in glossaries but does not establish their competitive roles or comparative capabilities. Competitor arrays are therefore empty; supplier and customer names are not treated as competitors.","No comparable-product realized net pricing series, customer retention rate, quantified switching cost or unilateral repricing right is supplied.","Support guarantees demonstrate commitments, not completed future service performance. High NA initiatives and capacity expansion plans remain prospective where not supported by disclosed achievements.","Ownership levels, full compensation target difficulty and demonstrated oversight effectiveness are not established. Implemented incentive policy and reported vesting support alignment without proving exceptional governance.","Quarterly 2026 statements are unaudited. Filing dates retain dateKind filed; they are not retrieval dates. The latest supplied results cover the period ended September 27, 2026."],"qualityAssessments":[{"category":"moat","checks":[{"criterion":"structural_advantage","grade":3,"rationale":"Lengthy development culminating in full-specification delivery, reported adoption and select-layer customer qualification substantiate a strong knowledge barrier. The issuer's leadership assertion alone is insufficient; competitor parity and exclusivity remain unestablished.","evidenceIds":["e1","e2","e3","e4","e5","e6","e7","e8"]},{"criterion":"durability","grade":2,"rationale":"Development history and support extending to at least 2035 support persistence. Qualification strengthens current commercial evidence, but broad High NA production longevity, replication timelines and durable customer economics remain unproven.","evidenceIds":["e3","e6","e8","e19","e20","e21"]},{"criterion":"customer_dependency","grade":3,"rationale":"Nine-month service and field option revenue increased from €6.059 billion to €8.538 billion, with management reporting strong productivity upgrade demand. Platform upgrades and support commitments reinforce dependence, assessed indirectly without measured switching costs or customer exclusivity.","evidenceIds":["e17","e18","e19","e20","e22","e23","e24"]},{"criterion":"erosion_resilience","grade":2,"rationale":"Customer qualification and growing system and installed-base sales show continued commercial progress despite risks. Experienced IP attacks, critical supplier concentration and licensing constraints limit resilience; hypothetical disruptions are not treated as realized competitive defeat.","evidenceIds":["e8","e9","e10","e11","e12","e13","e14","e15","e22","e58"]}]},{"category":"pricing_power","checks":[{"criterion":"realized_pricing","grade":2,"rationale":"Normal-course negotiated discounts establish actual concessions and shared bargaining power. Free goods, services and credits are disclosed possibilities. Strong upgrade monetization supports value capture, but neither rising aggregate revenue nor margins establishes comparable-product price increases; concession magnitude is absent.","evidenceIds":["e23","e27","e28","e29","e30"]},{"criterion":"retention","grade":3,"rationale":"Growing service and field option sales, continuing upgrade demand and volume purchase agreements provide strong indirect evidence of repeat engagement. No retention percentage or customer response to price changes is disclosed.","evidenceIds":["e22","e23","e24","e19","e20"]},{"criterion":"margin_resilience","grade":3,"rationale":"Annual gross margin rose from 51.3% in 2024 to 52.8% in 2025; nine-month 2026 margin reached 55.0% versus 53.1%. First-half margin was slightly lower year over year, preventing an uninterrupted-improvement claim. Management attributes the Q3 upside to upgrade demand, so mix and operating effects cannot be separated from pricing.","evidenceIds":["e34","e35","e36","e23","e37"]},{"criterion":"contractual_freedom","grade":2,"rationale":"Cancellation penalties and specification-limited returns protect sales economics. 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