ASM International Shares Drop 5.54% Midday, Falling Below €471

Midday Trading Update

ASM International's shares show a midday decline of 5.54%, bringing the price down to €470.50 from a close of €498.10 the previous day. Trading remains relatively limited with only 0.11% of capital exchanged, indicating investor caution in an almost stable Parisian market, with the CAC 40 barely losing 0.06% at 7,976.30 points. This drop extends a negative trend observed over the past seven days, during which the stock has lost 8.07%, erasing some of the gains accumulated over three months. The stock still maintains a positive quarterly performance of 15.55%, but now shows a year-on-year decline of 4.12%, while the Paris index has gained 10.81% over the same period. The stock's weakness is partly explained by the challenging sector environment. In late September 2025, ASM International revised its revenue forecasts for the second half downward, expecting a decrease of 5% to 10% compared to the first half due to weakened demand in the advanced logic and foundry segments. This revision initially led to a 6.4% drop before a slight rebound. No major news items published in the last 24 hours shed light on today's movement, suggesting a continuation of the technical correction and profit-taking after a period of consolidation.

Technical Analysis

Technically, several indicators confirm the selling pressure on the stock. The Relative Strength Index (RSI) stands at 19, significantly below the oversold threshold of 30, suggesting that the stock is in a zone of high technical stress. However, this situation could favor a short-term rebound if buyers regain control. The Moving Average Convergence Divergence (MACD) also shows a bearish setup, with a MACD line at -13.90 and a signal line at -8.56, while the negative histogram at -5.34 indicates a persistent divergence between the short and long moving averages. These technical signals reinforce the diagnosis of a pressured market, even though the price remains slightly above its 200-day moving average set at €483.73. The stock is also near its technical support identified at €488.20, a level now breached during the session. Resistance remains distant, positioned at €566.40, nearly 20% above the current price. The lower Bollinger Band is set at €483.54, confirming that the stock is approaching the lower limit of its volatility channel. The On Balance Volume (OBV) in negative territory at -407,630 and the Chaikin Money Flow (CMF) at -0.13 indicate a persistent capital outflow over several weeks, accentuating the technical fragility of the case.

Company Overview

ASM International, a major player in the industry of atomic layer deposition and epitaxy equipment for semiconductor manufacturing, is going through an adjustment phase after several quarters of robust growth. During its Investor Day in September, the company unveiled ambitious targets for 2030, aiming for a revenue of over €5.7 billion with an annual growth rate of at least 12%. However, short-term challenges related to a slowdown in demand in certain segments and currency rate fluctuations have weighed on investor sentiment. Several analysts have recently adjusted their recommendations: Rothschild Redburn downgraded the stock to neutral a few weeks ago, citing a short-term demand plateau and increased competition in certain applications. The macroeconomic context of the semiconductor sector remains mixed, torn between growth prospects linked to artificial intelligence and concerns about demand in more traditional segments. Nevertheless, ASM International remains well-positioned in the early-stage deposition technologies, a segment considered strategic for the next generations of chips. Investors will closely monitor the upcoming quarterly results and management commentary on demand trends, particularly in the logic and foundry segments, which represent a significant portion of the Dutch group's activity.