Chip Stocks Rally on TSMC’s Optimistic AI-Driven Outlook
Semiconductor equities gained traction Thursday following Taiwan Semiconductor Manufacturing Co.'s bullish earnings report and elevated guidance. The chipmaking giant's 39% net income surge to NT$452.3 billion ($14.1 billion) underscores accelerating demand for advanced AI processors, with 3nm technology now representing 23% of wafer sales.
TSMC's revised 2025 revenue projection to mid-30% growth sparked sector-wide optimism. Industry leaders Nvidia, Broadcom, and Micron all benefited from the positive sentiment, though cryptocurrency markets remained conspicuously absent from the AI infrastructure narrative.
The company maintained its $42 billion capital expenditure budget, signaling continued investment in cutting-edge fabrication technology. This development highlights the growing divergence between traditional tech equities and digital assets in capitalizing on AI infrastructure demand.
