ASML Faces Class Action Lawsuit Deadline Amid Investor Concerns

ASML Faces Class Action Lawsuit Deadline Amid Investor Concerns

2025-01-08 companies

N/A, Wednesday, 8 January 2025.
ASML Holding N.V. is under legal scrutiny with an impending class action lawsuit deadline, potentially affecting its stock and investor confidence.

ASML Holding N.V. (NASDAQ: ASML), a crucial player in the semiconductor industry [GPT], faces multiple class action lawsuits with a rapidly approaching deadline of January 13, 2025 [1][2]. The legal actions stem from events between January 24, 2024, and October 15, 2024 [3], during which the company allegedly misled investors about the severity of supplier issues and the pace of recovery in the semiconductor market [4].

Financial Impact and Market Response

The controversy peaked on October 15, 2024, when ASML reported disappointing quarterly bookings of €2.63 billion, representing a 53% decline from the previous quarter’s €5.6 billion [5]. The company also reduced its 2025 net sales forecast to between €30 billion and €35 billion, down from the initial range of €30 billion to €40 billion [5]. This news triggered a significant market reaction, with ASML’s stock plummeting by 16.3% from $872.27 to $730.43 per share on October 15, 2024, followed by an additional 6.4% decline to $683.52 the next day [6].

The lawsuit, filed as City of Hollywood Firefighters’ Pension Fund v. ASML Holding N.V., No. 24-cv-08664 [7], alleges that ASML and its executives violated federal securities laws by downplaying risks from macroeconomic fluctuations and export regulations [8]. Investors who purchased ASML shares or options during the specified period and suffered losses exceeding $100,000 are particularly encouraged to participate [1]. Multiple law firms, including Kahn Swick & Foti, LLC and Bleichmar Fonti & Auld LLP, are actively seeking affected investors to serve as lead plaintiffs [1][2].

Current Status and Next Steps

As of January 8, 2025, investors have less than a week to file lead plaintiff applications [1]. The case is currently pending in the United States District Court for the Southern District of New York [3]. ASML’s CEO Christophe Fouquet has acknowledged that the semiconductor industry’s recovery will extend well into 2025, leading to a reduced growth curve [5], a statement that stands in stark contrast to earlier, more optimistic projections [GPT].

Sources


ASML lawsuit shareholder action