WendyOneP
04-22

$Taiwan Semiconductor Manufacturing(TSM)$

TSMC just smashed expectations—and that’s a big deal.
EPS and revenue both beat, but more importantly, their forward guidance is strong. That’s not just good news for TSMC—it’s a signal the entire semiconductor cycle may be bottoming out.

Here’s why I’m bullish:

  1. AI Demand Is Real and Growing
    TSMC is riding a wave of AI-driven chip demand. With Nvidia, AMD, and even Apple leaning heavily on advanced nodes, TSMC’s position as the dominant foundry becomes even more valuable.

  2. Inventory Correction Appears Behind Us
    Management noted that clients have worked through excess inventory. That’s huge—channel normalization means new orders can now flow, not just replacements.

  3. Capex Intact = Confidence
    TSMC didn’t slash capex—it’s holding firm. That’s a strong signal they believe demand is real and sustainable.

My Take:
This earnings beat isn’t just about one quarter—it’s a macro signal that semis might be entering a new upcycle. I'm adding to my position.

TSMC Beats and Leads! Chip Sector Rebound to Pick?
ASML delivered strong Q2 results but management warned that it may not be able to achieve growth in 2026. The stock fell 10%. Taiwan Semiconductor Manufacturing Co. reported a better-than-expected 61% jump in profit for the June quarter, bolstering confidence in the momentum of the global AI spending spree. TSMC expects Q3 revenue of $31.8-33 bln in its earnings call (vs Q3 2024 revenue $23.5 bln). TSM jumps 4% in the overnight trading and leads chip sector to rebound.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment