Morgan Stanley raised the ASML Holding N.V. price target to €1,660.
The previous target was €1,400.
This update represents a nearly 19% increase.
The bank reaffirmed its Overweight rating for the semiconductor equipment manufacturer.
Accelerating demand for critical Extreme Ultraviolet (EUV) lithography tools drove the revision.
Morgan Stanley projects ASML will ship approximately 90 EUV tools next year.
These shipments will support memory manufacturers and advanced-node chip production.
The bank expects annual deliveries to reach 104 EUV tool sets by 2028.
This forecast includes a mix of low and high numerical aperture (NA) systems.