2024-05-10 16:55:38 ET
Summary
- TSMC warns about overall semiconductor market growth in 2024, but expects healthy growth for itself.
- TSMC's share price fell by 5% following its earnings call, but later rebounded after strong revenue in April 2024.
- TSMC faces vulnerabilities due to industry fluctuations, competition, and geopolitical risks, but maintains a dominant position in the foundry market.
- TSMC is also vulnerable to semiconductor slowdown due to reliance on trailing edge chips and broader economic trends.
In its Q1 2024 earnings call on April 18, Taiwan Semiconductor ( TSM ) (or TSMC) CEO C. C. Wei warned about the overall semiconductor market growth in 2024, stating:
"We lowered our forecast for the 2024 overall semiconductor market, excluding memory, to increase by approximately 10% year-over-year, while foundry industry growth is now forecast to be mid- to high-teens percent, both are coming off the steep inventory correction and/or base of 2023. Having said that, we continue to expect 2024 to be a healthy growth year for TSMC."
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For further details see:
Taiwan Semiconductor: Tracking A Trailing-Edge Semiconductor Slowdown