TSMC Reports 35% Profit Growth, Boosting Semiconductor Stocks
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: Newsfilter
- Earnings Beat: TSMC's fourth-quarter profit surged 35% year-over-year, exceeding market expectations and demonstrating strong demand for its leading-edge process technologies, further solidifying its position as the world's largest contract chipmaker.
- Industry Rally: Following TSMC's earnings report, chipmakers Nvidia and AMD saw their stock prices rise nearly 3% and 6%, respectively, reflecting optimistic market sentiment regarding a semiconductor industry rebound that could drive future investments.
- Capital Expenditure Signal: TSMC plans to boost capital spending in 2026, indicating confidence in the ongoing growth of the AI sector, which will further propel research and development in related technologies and market expansion.
- Strong ETF Performance: The VanEck Semiconductor ETF rose 3.5%, reflecting investor confidence in semiconductor companies including TSMC, Nvidia, and Broadcom, suggesting a positive trend for the industry as a whole.
Analyst Views on AMD
Wall Street analysts forecast AMD stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AMD is 281.78 USD with a low forecast of 200.00 USD and a high forecast of 350.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
37 Analyst Rating
27 Buy
10 Hold
0 Sell
Moderate Buy
Current: 223.600
Low
200.00
Averages
281.78
High
350.00
Current: 223.600
Low
200.00
Averages
281.78
High
350.00
About AMD
Advanced Micro Devices, Inc. is a global semiconductor company. The Company is focused on high-performance computing, graphics and visualization technologies. Its segments include Data Center, Client and Gaming, and Embedded. Data Center segment includes artificial intelligence (AI) accelerators, microprocessors (CPUs) for servers, graphics processing units (GPUs), accelerated processing units (APUs), data processing units (DPUs), Field Programmable Gate Arrays (FPGAs), smart network interface Cards (SmartNICs) and Adaptive system-on-Chip (SoC) products for data centers. Client and Gaming segment includes CPUs, APUs, chipsets for desktops and notebooks, discrete GPUs, and semi-custom SoC products and development services. Embedded segment includes embedded CPUs, GPUs, APUs, FPGAs, system on modules (SOMs), and Adaptive SoC products. It markets and sells its products under the AMD trademark. Its products include AMD EPYC, AMD Ryzen, AMD Ryzen PRO, Virtex UltraScale+, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
