Prediction: This Stock Will Be Worth More Than Palantir 3 Years From Now

Sun, Sep 14, 2025, 6:11 PM 5 min read

• The solid demand for Palantir's AI software has supercharged the stock, but it is trading at a very expensive multiple right now.

• ASML Holding is expected to witness an acceleration in growth.

• ASML is trading at an attractive valuation and isn't much behind Palantir when it comes to market cap.

• 10 stocks we like better than ASML ›

Palantir Technologies (NASDAQ: PLTR) has been one of the hottest stocks on the market in the past year. The software specialist has seen a significant surge in the demand for its artificial intelligence (AI) platform, which allows organizations and governments to integrate generative AI tools into their operations and processes.

The robust growth in Palantir's revenue and earnings in recent quarters has led to a 5x jump in the company's stock price in the past year. The generative AI software provider now has a market cap of $385 billion following its recent surge and it is among the top 30 companies in the U.S. by market cap.

However, there is another company that has the potential to upstage Palantir in the next three years. Let's take a closer look.

ASML Holding (NASDAQ: ASML) is one of the most important semiconductor companies in the world. Its machines play a critical role in helping foundries and chipmakers manufacture advanced chips that are deployed in multiple applications ranging from smartphones to personal computers to cars to data centers to the Internet of Things (IoT).

ASML has a near-monopoly in extreme ultraviolet lithography (EUV) machines, which are essential for manufacturing smaller chips that are energy-efficient and powerful at the same time. Not surprisingly, ASML's machines are being deployed by major chip manufacturers across the globe to meet the fast-growing demand for AI chips that are gaining traction in multiple applications.

ASML's net bookings increased by 40% sequentially to 5.5 billion euros in Q2. The company expects to end 2025 with 15% revenue growth to 32.5 billion euros. However, it is worth noting that the company's 2025 guidance is toward the lower end of its original forecast of 30 billion euros to 40 billion euros.

ASML is being cautious about its outlook on account of the potential impact of tariffs on its business. However, the Dutch company saw a lower-than-expected impact from tariffs last quarter. It recorded a 34% increase in its revenue in the first six months of 2025. So, there is a chance that ASML could end the year on a stronger-than-expected note, especially considering the robust spending on AI infrastructure.