Quality Momentum

QM · rank #6 · 2026-09-07

ASM

AMSTERDAM · EUR · $44.53B (USD)

SignalStrong Buy4.2strength 4.2 / 10
verdict · PROCEED

The exact numbers the algorithm saw.

Factor scores and the inputs behind this pick.
Momentum 12-1
Return from 12 months ago to 1 month ago.
+104.03%
ROE TTM
Return on equity, trailing 12 months.
+26.8%
Profit margin
Net profit margin, trailing 12 months.
+31.9%
Market cap (USD)
Size filter: > $300M required (USD-equivalent).
$44.53B
Anchor (recent)
Close on 2026-08-07
$854.00
Anchor (far)
Close on 2025-08-08
$418.57

The AI research card

Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.

Summary

ASM International is a Dutch semiconductor equipment leader specializing in atomic layer deposition and epitaxy tools, serving AI infrastructure, leading-edge logic/foundry, and HBM DRAM customers globally.

Rationale

Record Q2 2026 revenue of €1,003M (+24% YoY), 51.9% gross margin, 26.8% ROE, and 31.9% net margin confirm the quality signals are grounded in real earnings power, while a raised 2027 outlook sustains the momentum thesis.

Material risks

  • 1U.S./Dutch export control tightening on advanced deposition tools to China could abruptly remove a meaningful revenue contributor, directly disconfirming the raised 2027 outlook that underpins the momentum signal.
  • 2The 2027 revenue upgrade is heavily concentrated on AI infrastructure and HBM DRAM capex cycles; any demand reversal or customer capex deferral would compress both momentum and quality metrics simultaneously.

AI verdict council

Each pick is reviewed independently by 3 models before any order. 3 of 3 voted to proceed.

OpenAI
Proceed
Claude
Proceed
Gemini
Proceed