TSM - Why TSMC Stock Gained Despite Huge Sell-Offs for Chip Companies Today
2024-07-18 18:50:43 ET
Semiconductor stocks were hit hard in Thursday's trading, but Taiwan Semiconductor Manufacturing (NYSE: TSM) stock managed to end the day in the green. The chip company's share price closed out the daily session up 0.4%, according to data from S&P Global Market Intelligence .
TSMC posted second-quarter results after the market closed yesterday, delivering sales and earnings for the period that beat Wall Street's expectations. The company also issued strong guidance. The quarterly report was impressive enough to propel the stock to a small gain today despite geopolitical concerns spurring big sell-offs for many other semiconductor companies.
TSMC's revenue surged 32.8% year over year in the second quarter to hit $20.82 billion and beat the average analyst estimate's sales guidance by $730 million. Earnings per American depositary receipt came in at $1.48, topping Wall Street's forecast for per-share earnings of $1.42. The company's strong sales and earnings performance was aided by rising demand for artificial intelligence ( AI ) hardware and services, and it looks like the momentum is poised to continue.
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Why TSMC Stock Gained Despite Huge Sell-Offs for Chip Companies Today