Taiwan Semiconductor Manufacturing Co. Ltd. ADR (TSM)
TSMC Q1: Excellent Results, Strong Buy (Rating Upgrade)
Taiwan Semiconductor Manufacturing Company aka TSMC reported strong Q1 earnings, benefiting from AI demand and a robust market position, making it a Strong Buy despite geopolitical risks. TSMC's Q2 revenue guidance of $28.4–$29.2 billion implies nearly 40% growth, surpassing Wall Street expectations and indicating resilience against tariffs. With a high gross margin of 58.8% and impressive cash flow generation, TSM stock's valuation remains undemanding at 16.7x forward earnings and a 9.7 EV/EBITDA ratio.
TSMC Q1 2025 Earnings Silence Tariff Doubts
Despite the slight topline miss, TSMC's Q1 earnings outperformance and robust Q2 outlook suggests its earlier 2025 growth guidance in the 20% range remains more than intact amidst tariff uncertainties. The combination of unmatched technological expertise, advanced U.S. manufacturing capacity, and strategic tariff advantages continue to support TSMC's resilience amid the ongoing trade war. The latest earnings update also underscores TSMC's role as a strategic outlier in the global semiconductor race, reinforced by tangible fundamental support.
TSMC Earnings: US Manufacturing Has Minimal Impact On Margins
I find Q2 revenue guidance encouraging, beating revenue expectations by $1.58B and signaling resilient demand for AI chips despite ongoing tariff noise in the US. I expected margin pressure from Fab 21 but was surprised. Net profit margins held steady in Q1 2025, suggesting limited near-term impact from US manufacturing. That said, I'm concerned about elevated CapEx; $10B in Q1 alone shows TSMC's aggressive US buildout could weigh on free cash flow in the short term.
TSMC Has Finally Become Dirt Cheap Following Its Q1 Results (Upgrade)
I am upgrading TSMC to a "Strong Buy" due to its unbeatable moat, solid pricing power, and fantastic Q1 FY2025 performance. TSMC reported Q1 FY2025 revenue of ~$25.53 billion (+35.3% YoY) and diluted EPS of ~$2.12 (+60% YoY), with industry-leading margins. Free cash flow increased to $9.07 billion, and management guided Q2 FY2025 revenue between $28.4-29.2 billion, surpassing consensus estimates.
TSMC Stock Rises as Chipmaker's Results Top Estimates, Firm Sticks With Outlook
U.S.-listed shares of Taiwan Semiconductor Manufacturing Co. (TSM) rose in premarket trading Thursday after the world's largest contract chip manufacturer reported first-quarter results that topped analysts' estimates and stuck with its 2025 revenue outlook despite the growing trade war.
Taiwan Semiconductor Manufacturing Company Limited (TSM) Q1 2025 Earnings Call Transcript
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM ) Q1 2025 Earnings Conference Call April 17, 2025 2:00 AM ET Company Participants Jeff Su - Director of Investor Relations Wendell Huang - Senior Vice President of Finance and Chief Financial Officer C.C. Wei - Chairman and Chief Executive Officer Conference Call Participants Gokul Hariharan - JPMorgan Chase & Co. Bruce Lu - Goldman Sachs Group, Inc. Charlie Chan - Morgan Stanley Charles Shi - Needham & Company Sunny Lin - UBS Brett Simpson - Arete Research Laura Chen - Citigroup Inc. Sreekrishnan Sankarnarayanan - TD Cowen Jeff Su Good afternoon, everyone, and welcome to TSMC's First Quarter 2025 Earnings Conference Call.
TSMC beats expectations, but tempers outlook amid tariff turmoil
Taiwan Semiconductor Manufacturing Co (ADR) (NYSE:TSM) reported better-than-expected first-quarter results, driven by strong demand for artificial intelligence (AI) chips. Net income rose 60% year-on-year to $11.3 billion, while revenue climbed 41.6% to $26.2 billion.
TSMC's US fabs are a win for 'everyone', from US to Taiwan, says analyst
Daniel Heyler, senior strategist at EFM Asset Management, talks about what his concerns regarding Taiwan Semiconductor, Intel, and the chip sector as a whole – and why he's watching for earnings expectations and capex guidance to come down in the sector.
TSMC says tariffs haven't changed customer behavior as profit booms 60%
Taiwan Semiconductor Manufacturing Co., the contract microchip manufacturer for Nvidia, Apple and AMD, said it hasn't seen a change in customer behavior after a quarter in which surging artificial-intelligence demand saw its profit surge by 60%.
TSMC Reports Another Earnings Beat Under Cloud of Tariff Worries
The world's largest contract chip maker's profit jumped 60% to 361.56 billion New Taiwan dollars in the first quarter, beating the NT$351.65 billion consensus estimate of analysts in a FactSet poll.
TSMC first-quarter profit tops estimates, rising 60%, but Trump trade policy threatens growth
TSMC's reported net income increased 60.3% from a year ago to $361.56 billion New Taiwan dollars, while net revenue in the March quarter rose 41.6% from a year earlier to NT$839.25 billion. The company faces headwinds from the trade policy of U.S. President Donald Trump, who has placed broad trade tariffs on Taiwan and stricter export controls on TSMC clients Nvidia and AMD.
Litmus test for chip stocks as investors gird for TSMC earnings
Investors are bracing for the results from Taiwan's TSMC on Thursday to show further evidence of the wide-ranging uncertainty in the chip industry spurred by U.S. President Donald Trump's trade policies.
