Major Chinese stocks listed in the U.S. showed mixed results in recent trading, with the Nasdaq Golden Dragon China Index (HXC) closing down 2.37%. Notable gainers included Taiwan Semiconductor Manufacturing Company (TSM), which rose 2.09%, and Futu Holdings (FUTU, Financial), which saw an impressive increase of 8.81%. Other companies like Beike Holdings (BEKE) and New Oriental Education & Technology Group (EDU) also recorded smaller gains of 4.68% and 0.92%, respectively. On the downside, major firms like ...

Global Semiconductor Market Performance - The global semiconductor market is expected to remain flat in 2024 compared to 2023 due to geopolitical risks and tightening monetary policies in Europe and the U.S. [1] - The semiconductor market is nearing the end of inventory adjustments, with demand in automotive, high-performance computing (HPC), and the Artificial Intelligence of Things (AIoT) sectors likely to support a return to growth, potentially leading to double-digit increases [1][2] - Integrated Circuits (ICs) dominate the global semiconductor market with over 80% market share [3] Capex of Global Semiconductor Companies - There is a high concentration of capital expenditure (CapEx) among global semiconductor firms, with semiconductor equipment taking the largest share of CapEx [3] Competitive Landscape of DRAM Suppliers - Two South Korean suppliers, Samsung and SK Hynix, dominate the DRAM market with a combined 72% market share [3] - Fierce competition is expected as the DRAM market enters the 1? process in 2024, with HPC applications driving High Bandwidth Memory (HBM) development [3] 3D NAND and Wafer Foundries - The 3D NAND market is advancing into the 200-layer era, with two Korean companies leading the NAND flash market with a 52% share [3] - Major wafer foundries have commenced mass production of the 3nm process, with competition expected to shift to the 2nm era in 2024-2025 [3] Revenue Ranking of Global Semiconductor Companies - TSMC remains the world's largest semiconductor company in 2023, while Nvidia experienced significant revenue growth of 87% [3] Development of Third-Generation Semiconductor Industry - The third-generation semiconductor industry is gaining attention for its high voltage resistance, temperature tolerance, and energy efficiency, which are crucial for achieving net-zero emissions [2] - Companies in Europe, the U.S., and Japan lead the third-generation semiconductor market, with emerging competition from China, South Korea, and Taiwan [2] Product Strategies of Leading Companies - European companies focus on automotive and industrial niches, while U.S. companies prioritize military applications and expand into civilian uses [4] - Major Taiwanese companies are expanding capacity in the third-generation semiconductor sector, focusing mainly on wafer foundry [4]

Core Insights - Hurricane Helene has impacted high-purity quartz mines in North Carolina, raising concerns among global semiconductor manufacturers regarding quartz supplies, which are critical for chip production [1][2] - Major semiconductor companies, including TSMC and Infineon Technologies, are monitoring the situation but do not anticipate significant operational disruptions [1] - Samsung Electronics and SK Hynix also expect minimal disruption to their operations due to the situation [1] - GlobalWafers, a leading silicon supplier, has stated that the supply chain has adequate stock to manage temporary interruptions and does not foresee any impact on current order fulfillment [2] Semiconductor Industry Response - TSM supplier Topco Scientific is actively assessing inventory levels and maintaining communication with suppliers to gauge the situation [1] - The typical stockpiling behavior of semiconductor companies may mitigate the immediate impact of the supply disruption [1] Quartz Mining Operations - Quartz mining companies Sibelco and Quartz suspended production on September 26 due to the hurricane, which caused flooding and power outages [2] - The timeline for resuming production at these mines remains uncertain, adding to the ambiguity in quartz supply [2]

TSMC outperformed the indexes over the past five years.Taiwan Semiconductor (TSM -4.74%) has been a brilliant investment over the past five years. Its total return is around 350%, easily outperforming the NASDAQ 100 and the S&P 500, which rose 170% and 110%, respectively. Although TSMC has been a market-crushing stock over the past five years, I'm convinced it will do it again in the next five. This makes the stock a strong buy now, and I have three reasons why it's an attractive purchase.1. Strong revenue ...

This company has the wind at its back and dominates a huge market.There have officially been eight non-state-owned companies to have reached a market cap of $1 trillion. These include the "Magnificent Seven" technology companies and, most recently, Berkshire Hathaway, which just passed the threshold earlier this month. Of these companies, only Tesla and Berkshire Hathaway are below the $1 trillion threshold today.A lot of wealth has been built betting on internet stocks, and, at least in recent years, the g ...

The foundry giant is set to spend big in the coming years, and there's one company that could stand to win big.Taiwan Semiconductor Manufacturing (TSM -4.74%), popularly known as TSMC, is the world's largest semiconductor foundry that manufactures chips for fabless semiconductor companies. Its customers include popular names such as Nvidia, Apple, Advanced Micro Devices, Broadcom, Qualcomm, and others.TSMC controls 62% of the global foundry market, enjoying a significant lead over second-place Samsung, whic ...

Investment Rating - The report initiates coverage on TSMC (TSM O) with an "Overweight" rating [1] Core Views - TSMC is the global leader in semiconductor foundry services and is well positioned to benefit from the AI industry trend [1] - The company s advanced manufacturing capabilities and strong technological expertise are irreplaceable in the industry [9] - TSMC s success is driven by its continuous investment in technological innovation and strategic growth including expansion plans in Japan [9] Financial Performance - In 2Q24 TSMC reported revenue of $20 82 billion up 40 1% YoY and 13 6% QoQ with net profit and diluted EPS both growing 36 3% [2] - Gross margin was 53 2% operating margin was 42 5% and net profit margin was 36 8% in 2Q24 [2] - Management expects 3Q24 revenue to be between $22 4 billion and $23 2 billion with gross margin between 53 5% and 55 5% and operating margin between 42 5% and 44 5% [2] Technology and Market Position - 3nm process accounted for 15% of wafer revenue in 2Q24 while 5nm and 7nm accounted for 35% and 17% respectively Advanced technologies (7nm and below) contributed 67% of total wafer revenue [2] - TSMC is a key supplier for AI related chips providing front end foundry services and CoWoS packaging for companies like NVIDIA Broadcom and AMD [3] - The company expects AI related revenue to reach 15 20% of total revenue in the next three years [3] Industry Overview - The global foundry market is dominated by TSMC Samsung UMC GlobalFoundries and SMIC with TSMC holding a 56 1% market share in 3Q22 [12] - The foundry industry is driven by demand for advanced process nodes particularly in high performance computing smartphones IoT automotive and consumer electronics [11] Valuation and Forecast - The report forecasts TSMC s net profit for 2024 2025 and 2026 to be NT$1 109 19 billion NT$1 423 30 billion and NT$1 597 06 billion respectively representing YoY growth of 32 3% 28 3% and 12 21% [4] - TSMC s P E ratios for 2024 2025 and 2026 are estimated at 26 2x 20 4x and 18 2x respectively which are below the industry average of 29 28x and 22 61x for US semiconductor equipment and manufacturing companies [4] - Key drivers for growth include increasing contributions from the 3nm process AI related foundry revenue and a steady recovery in consumer electronics [4]

Taiwan Semiconductor (NYSE: TSM ) has been one of my best picks in recent years. I covered the stock in October 2022 as I went long at what turned out to be a multiyear low in termsEarly 30s 'buy and hold' investor trying to achieve financial freedom to the greatest extent possible. Main focus within dividend growth investing & value. I've been investing for 10+ years and worked across several industries including finance, logistics, oil and pharma. Holding a Graduate Diploma within Accounting and MSc withi ...

Group 1 - The article discusses the author's previous rating of Taiwan Semiconductor Manufacturing Company Limited (TSMC) as 'Neutral/Hold' and acknowledges that this view was accurate for the first eight months [1] - The author emphasizes the importance of providing alpha-generating investment ideas and managing a family's portfolio through a Self Managed Super Fund [1] - The typical holding period for investments is mentioned to range from a few quarters to multiple years, indicating a long-term investment strategy [1] Group 2 - The author expresses a generalist approach to exploring, analyzing, and investing in various sectors, focusing on perceived alpha potential compared to the S&P 500 [1] - There is a suggestion for readers to review the ratings history of the author's published articles as a measure of the author's investment skill [1]

The stock has been falling since July.The investing world can't stop talking about Nvidia. The chipmaker was briefly the largest company in the world by market cap and has seen soaring profits due to the insatiable demand for its artificial intelligence (AI) semiconductor products. But this isn't the only company benefiting from the AI revolution.Enter Taiwan Semiconductor Manufacturing Company (TSM 4.13%), otherwise known as TSMC. The manufacturer of computer chips for Nvidia has seen its shares fall from ...