Jim Cramer Looked Closely At These 10 Stocks

4. ASML Holding N.V. (NASDAQ:ASML)

Number of Hedge Fund Holders: 64

Cramer called ASML Holding N.V. (NASDAQ:ASML) “remarkable” and suggested to invest in the stock. He said, “I think ASML is a remarkably great company and I think you should buy it. Let me tell you, I also like Lam Research.”

ASML (NASDAQ:ASML) designs and manufactures advanced semiconductor equipment, including lithography, metrology, and inspection systems, offering solutions for chipmakers to produce a wide range of semiconductor technologies and providing customer support and system upgrades. In October 2024, Cramer mentioned the company and explained:

“Very important technology, which is why ASML when it gave a horrendous forecast yesterday, something it did actually by mistake, they weren’t supposed to, they got the date wrong for the release. Lots of investors figured that it must be game over for the semiconductor stocks themselves… It was natural to assume that such a huge shortfall must be the result of the weakness across the board from all of its clients… ASML’s relatively unknown… That just made it even more mysterious and thus inscrutable terrifying… Doesn’t matter that ASML said they’re still getting tons of orders from companies that make AI-related chips. It was the one bright spot they had. No one believed anything was any good here because the guidance was so horrible.”

Ithaka Group stated the following regarding ASML Holding N.V. (NASDAQ:ASML) in its Q4 2024 investor letter:

“ASML Holding N.V. (NASDAQ:ASML) is a leading supplier of photolithography equipment used in semiconductor manufacturing, enabling the production of microchips at ever-smaller line widths. The company’s cutting-edge technologies, particularly extreme ultraviolet (EUV) lithography, play a critical role in producing the most advanced chips for applications like smartphones, data centers, and AI. ASML’s systems are vital for the semiconductor industry, helping to push the boundaries of Moore’s Law and drive innovation in electronics. Weakness in ASML’s stock was due to their 3Q24 earnings announcement, in which the company posted a weak quarter while also cutting forward guidance. Fears surrounding lithography demand, the China/US trade war, and problems at the major fab plants sent the stock tumbling.”