TSMC(US:TSM) Benzinga·2025-04-18 15:20Core Insights - Taiwan Semiconductor Manufacturing Co. (TSM) reported a remarkable first quarter, exceeding Wall Street expectations with a revenue of $25.53 billion, a 41.6% year-over-year increase, and an EPS of $2.12, surpassing the consensus of $1.82 [2][3] - Despite strong fundamentals driven by AI demand, TSM's stock is facing technical challenges, trading below key moving averages, indicating bearish signals [4][7] Financial Performance - First quarter revenue reached $25.53 billion, exceeding expectations of $23.92 billion [2] - EPS was reported at $2.12, significantly above the consensus estimate of $1.82 [2] - TSM projected second quarter revenue between $28.4 billion and $29.2 billion, supported by ongoing demand for AI processors [2] Market Position and Sentiment - TSM's strong results highlight its critical role as a supplier to Nvidia, suggesting positive momentum for the semiconductor sector [3] - However, the stock is showing technical warning signs, including a "Death Cross" formation, which indicates potential downward pressure [4] Risks and Challenges - Concerns exist regarding the sustainability of TSM's sales growth, with a pre-tariff buying rush potentially inflating short-term results [5] - Ongoing trade tensions and tariff uncertainties pose significant risks to the semiconductor industry, which could impact future performance [6][7]