[News] TSMC’s Investor Meeting on the 19th with Market’s Attention on Five Key Topics

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TSMC is set to conduct an investor meeting on the 19th, with Morgan Stanley, UBS, and Bank of America Securities releasing their latest reports ahead of the event. These reports highlight five main areas of interest:

1. Q4 Operational Outlook
2. Future Gross Margin Trends
3. Potential Adjustments to Full-Year Revenue Estimates and Capital Expenditure
4. Economic and Operational Outlook for the Coming Year
5. 2nm Production Plans

Despite market uncertainties surrounding factors such as end-market demand, the Chinese mainland’s economic trajectory, and semiconductor industry cycles, Morgan Stanley Securities anticipates a 10% QoQ increase in TSMC’s Q4 revenue. They attribute this to strong demand for AI GPUs and ASICs, urgent orders from products like smartphone system-on-chips (SoCs) and PC GPUs, as well as sustained demand for Apple’s iPhones. Additionally, the gross margin is expected to benefit from the depreciation of the New Taiwan Dollar, potentially reaching 53%, surpassing the market consensus of 52.2%.

Bank of America Securities similarly projects a 10% QoQ revenue growth for TSMC in Q4, with a gross margin estimate of 52.7%. UBS Securities, on the other hand, has adjusted its Q4 revenue growth forecast from 10% to 7% while maintaining their expectation of a 10% YoY decline in full-year revenue.

In terms of capital expenditures, Morgan Stanley Securities, taking into account factors such as Intel’s 3nm outsourcing and delays in the U.S. factory expansion, estimates that TSMC’s capital expenditures will remain around $28 billion for both this year and the next. UBS Securities, however, believes that due to a slower short-term business recovery, capital expenditures for this year and the next will be adjusted to $31 billion and $30 billion, respectively.

Explore More

• TSMC to Receive One More Year of Exemption Amid U.S. Chip Export Ban to China
• TSMC’s 2nm Fab in Kaohsiung Prepares for N2P Mass Production

(Photo credit: TSMC)