JimmyHua
04-22

$Taiwan Semiconductor Manufacturing(TSM)$

Yes, TSMC beat expectations and issued strong guidance. But let’s not ignore some key risks beneath the surface.

Why I’m still cautious:

  1. China Tensions Haven’t Gone Away
    TSMC remains geopolitically exposed. Rising US-China tech tensions could disrupt global chip supply chains—or spark regulatory headaches.

  2. Guidance Might Be Priced In
    The stock has already run up significantly. With semis up across the board this year, how much of this "comeback" is already baked into valuations?

  3. Demand Is Still Uneven
    Consumer electronics, smartphones, and automotive chips are still soft. AI is the buzzword, but it can’t carry the entire sector on its own—yet.

My Take:
TSMC’s print is solid, but I’m not chasing here. Great company, yes—but macro risks and stretched valuations keep me on the sidelines for now.

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.

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