While President Donald Trump's tariffs are front and center in many investors' minds, a handful of stocks have sold off despite being relatively unaffected. This is a guilty-by-association reaction and a great opportunity for investors to scoop up shares.
ASML (ASML +2.22%) and MercadoLibre (MELI +3.73%) are two stocks that fit this guidance. Each has their own reasons for mostly avoiding tariffs, but both look like excellent buys right now.
1. ASML
ASML is based in the Netherlands, so avoiding tariffs may seem odd. However, the machines it produces are vital to semiconductor manufacturing. ASML is the only company on Earth with the technology necessary to produce microscopic chip trace programming with its extreme ultraviolet lithography machines.
NASDAQ: ASML
Key Data Points
This makes these machines vital to chip production, which is expected to ramp up over the next few years as chip fabricators meet demand that is driven by AI expansion. It's not clear if ASML's machines are exempt from tariffs, as the White House has specifically exempted semiconductors from any tariff.
Because ASML's machines are associated with chip production, and that's a specific industry that Trump wants to bring back to the U.S., I wouldn't be surprised if these machines received an exemption through association. Regardless of whether they do or not, these machines are required to produce cutting-edge chips, so companies that are expanding chip production in the U.S. have to purchase them.
This places ASML in a fantastic situation, as there is practically no competition or need to market its machines. This makes for a very efficient business, which is excellent to invest in.
However, ASML has been sold off alongside its chip peers and now sits around 40% off its all-time high set in last July. At 25 times forward earnings and 31 times trailing earnings, the current price tag is around the lowest levels it has traded at over the past few years.
ASML PE Ratio (Forward) data by YCharts
Given how critical ASML's machines are to chip manufacturing, I think ASML will emerge from these tariffs relatively unscathed, and the stock should be bought while it's still on sale.
2. MercadoLibre
MercadoLibre is also a foreign company, but it doesn't do any business in the U.S. MercadoLibre serves the Latin American region and is an e-commerce and fintech provider. Yet its stock is listed on the U.S. exchanges, so it can be affected by domestic sentiment rather than what's really occurring with the company.
NASDAQ: MELI
Key Data Points
MercadoLibre has posted strong and steady growth over the past few years, and this growth rate is far faster than most stocks on the market.
MELI Operating Revenue (Quarterly YoY Growth) data by YCharts
The company is also solidly profitable, and its profit margins continue to trend higher.
MELI Profit Margin data by YCharts
There's a lot to like about MercadoLibre's current situation, yet the stock recently was down around 15% from its all-time high. This slight discount seems like a no-brainer buying opportunity, as the Latin American e-commerce and fintech rollout is still ongoing. Wall Street analyst projections of 24% revenue growth in 2025 and 23% in 2026 are evidence of this.
Because MercadoLibre's business is focused on Latin America, it seems like an excellent way to capitalize on the fear of tariffs without actually needing to worry about their effects.
