ASML Holding NV surged the most since 2020 after booking orders worth twice as much as analysts expected, as the artificial intelligence boom fuels demand for its chipmaking machines.

The CEO of Dutch chipmaking giant ASML warned investors they needed to get used to more DeepSeek-style “elephants in the room” as he projected optimism days after China’s surprise AI chatbot caused turmoil for Western tech stocks.

ASML Holding N.V.'s complex, high-cost business model and reliance on a few partners are mitigated by secular trends and continuous R&D investment. Learn more on ASML stock here.

The company posted fourth-quarter orders well above analysts’ expectations as chip makers scrambled for machinery to produce increasingly sophisticated semiconductors.

ASML's shares rose by more than 7% today and were up by 4.1% as of 11:03 a.m. ET.

Net bookings were driven by demand for ASML's most-advanced extreme ultraviolet lithography, or EUV, machines, for which €3 billion of orders were placed in the period

Computer chip equipment maker ASML's CEO on Wednesday made the case that the advent of efficient AI models such as one China's DeepSeek has launched is a net positive for chip markets. Christophe Fouquet said that perceptions of AI spending are skewed by the massive investments being made by "hyperscalers" - companies such as Google,

ASML Holding (NASDAQ:ASML) is rocketing higher on strong earnings. Up about $38 a share, the Dutch semiconductor giant reported a substantial jump in fourth quarter net bookings, which tells us demand for its chipmaking tools is still strong.

The company reported fourth-quarter earnings of 6.85 euros ($7.14) a share on sales of €9.3 billion, beating expectations.

However, Wednesday’s annual results from ASML pointed to strong demand for the equipment that chip manufacturers such as Taiwan Semiconductor Manufacturing Company, Intel and Samsung need to produce the most cutting-edge chips for customers such as Nvidia and Apple.

Shrugging off fears prompted by Chinese AI firm DeepSeek, Dutch computer chip equipment maker ASML on Wednesday reported better than expected fourth-quarter bookings of 7.088 billion euros ($7.39 billion), on strong demand for its advanced tools.