Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is one of billionaire David Tepper’s top stock picks heading into 2026. On December 10, analysts at Bernstein SocGen Group reiterated an Outperform rating and a $330 price target on Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM). The positive stance is in response to the company tracking ahead of its fourth quarter guidance and consensus estimates. Bernstein Asserts Outperform Rating as Taiwan Semiconductor Manufacturing Company ...

Core Insights - Qualcomm reported fiscal fourth-quarter results that exceeded analyst expectations, with revenue increasing by 10% to $11.27 billion compared to $10.24 billion a year earlier, although the company recorded a net loss of $3.12 billion due to an income tax expense [1][5] - For the fiscal first quarter, Qualcomm anticipates revenue between $11.8 billion and $12.6 billion, surpassing the average analyst estimate of $11.62 billion, with adjusted EPS projected between $3.30 and $3.50 [2] Financial Performance - The company achieved adjusted earnings per share of $3.00, which was higher than the expected $2.88, and revenue of $11.27 billion, exceeding the forecast of $10.79 billion [5] - The net loss for the fourth quarter was $3.12 billion, or $2.89 per share, compared to a net income of $2.92 billion, or $2.59 per share, in the previous year [1] Market Position and Strategy - Qualcomm is facing the potential loss of Apple as a customer for its modem business and is diversifying its product offerings to include chips for Windows PCs, virtual-reality headsets, and smart glasses [3] - The company is focusing on opportunities in artificial intelligence, where it aims to compete against Nvidia and AMD, which currently dominate the processor market [3] Product Development - Qualcomm announced plans to release new AI accelerator chips, the AI200 and AI250, which are expected to be available in 2026 and 2027, respectively, and can be integrated into liquid-cooled server racks [4] - The new AI chips are designed to compete with Nvidia and AMD's offerings, which allow multiple GPUs to function as a single computer, catering to the needs of AI labs [4] Stock Performance - Qualcomm's shares have increased by 17% year-to-date, lagging behind the Nasdaq's 22% gain, while Nvidia and AMD have seen significant increases of 45% and 112%, respectively [5]

Market Overview - The week has been characterized by volatility, with the VIX index around 24, indicating increased market uncertainty [2][3] - US-China trade relations remain a focal point, with President Trump's recent comments aimed at easing tensions [3][8] Banking Sector - Regional banks are experiencing pressure due to poor credit quality, particularly from bad loans, which has raised concerns about potential contagion within the banking sector [4][5] - Not all regional banks are equally affected; some have reported better-than-expected results, indicating a mixed outlook across the sector [9][10] - The auto loan market is facing rising delinquency rates, contributing to concerns about credit quality [11][12] Micron Technology - Micron is under pressure following reports of halting server chip supplies to China due to national security concerns, which has been an ongoing issue since 2023 [15][16] - China accounts for approximately 12% of Micron's overall revenue, translating to around $3.4 billion in exposure, but analysts do not view this as a major surprise given the regulatory environment [17][18] - Despite challenges in the Chinese market, Micron continues to see strong demand in other sectors, particularly in automotive and mobile phone chips, as well as from countries expanding their AI capabilities [19] Technical Market Analysis - The S&P 500 is experiencing a wide trading range, with resistance levels identified at 6,700 and support at 6,500, as volatility continues to increase [20] - A breakdown in technical structure has been noted, but there are signs of potential recovery as the market attempts to bounce back [20][21]