Apple, Nvidia supplier, Taiwan Semiconductor Mfg. Co. Ltd. TSM is experiencing a significant uptick in Friday’s pre-market trading following the announcement of its impressive July 2024 revenue figures.
What Happened: The semiconductor giant reported a consolidated revenue of approximately NT$256.95 billion ($7.9 billion) for July 2024, which is a 23.6% increase from June and a substantial 44.7% surge from July 2023. Furthermore, TSMC’s revenue from January to July 2024 totaled NT$1,523.11 billion ($46.44 billion), a 30.5% increase compared to the same period in 2023.
As per Benzinga Pro data, TSMC shares rose 3.54% in pre-market trading, reaching $170.38 from the previous close of $164.55.
Why It Matters: TSMC’s impressive performance comes on the heels of its market capitalization reaching the $1 trillion mark in July. The company’s shares have gained nearly 80% year-to-date, and several analysts have raised their price targets on the stock ahead of the company’s second-quarter earnings report.
However, it is not all smooth sailing for TSMC. The company, along with its leading client, Nvidia is facing production issues with Nvidia’s most advanced artificial intelligence chips. These challenges could delay shipments planned for this year.
Despite these hurdles, as per data compiled by Bloomberg, analysts predict a 37% growth in TSMC’s third-quarter revenue to NT$747.4 billion. Given the robust July performance, TSMC may well exceed these projections.
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Photo by Jack Hong via Shutterstock
This story was generated using Benzinga Neuro and edited by Pooja Rajkumari
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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