S&P 500

Linton

GazzaBloom said:

Linton said:

GazzaBloom said:

TSMC to up Arizona investment to $40 billion with second semiconductor chip plant (cnbc.com)

An example of moves to make US supply chains more resilient, this is why I like investing in the US, it's a formidable powerhouse. Now, if only they could develop their own machines that make the semi-conductors rather than relying on Dutch company ASML !

That is why I invest in Europe as well. ASML is in my Growth portfolio's top 10 holdings.

ASML are in top 10 of my S&S ISA fund but US are definitely working to be more protectionist and on-shoring, is the age of globalisation in retreat?

I doubt globalisation is in long term retreat. Simple economics wins in the end.  If US on-shoring results in higher prices for local companies other countries will win out in the global market.  That is another good region to invest globally.

adindas

GazzaBloom said:

Linton said:

GazzaBloom said:

TSMC to up Arizona investment to $40 billion with second semiconductor chip plant (cnbc.com)

An example of moves to make US supply chains more resilient, this is why I like investing in the US, it's a formidable powerhouse. Now, if only they could develop their own machines that make the semi-conductors rather than relying on Dutch company ASML !

That is why I invest in Europe as well. ASML is in my Growth portfolio's top 10 holdings.

ASML are in top 10 of my S&S ISA fund but US are definitely working to be more protectionist and on-shoring, is the age of globalisation in retreat?

ASML is a great companies. 
But the valuation is still expensive in my opinion.

P/E ratio (LFY) is still 41.08
P/FCF (LFY) 27.15; P/FCF (TTM) is 32.48
When the P/FCF fall to 23 I will bite. 
But the current valuation might be justifiable.Literally they have no competitors in Chips producing Machine especially in the areas of  EUV (extreme ultraviolet). NO single company on this earth could manufacturer machine that could produce 3nm Chip.
I am not quite sure whether they benefit the recent 2022 chip act passed in the US a they are not US company.

The company like this can not miss  earning. One they miss earning they will get severely punished by the market, irrespectively how great they are.

There are recent articles about ASML in Motleyfool

https://www.fool.co.uk/2022/12/05/1-monopoly-stock-i-will-never-sell/

https://www.fool.com/investing/2022/10/24/4-reasons-to-buy-asml-stock-and-1-reason-to-sell/