Taiwan Semiconductor: Q3 Earnings Insights

Shares of Taiwan Semiconductor TSM fell 0.7% in pre-market trading after the company reported Q3 results.

Quarterly Results

Earnings per share were up 45.16% over the past year to $0.90, which beat the estimate of $0.77.

Revenue of $12,140,000,000 rose by 29.20% year over year, which beat the estimate of $11,510,000,000.

Outlook

Q4 revenue expected between $12,400,000,000 and $12,700,000,000.

Technicals

Company's 52-week high was at $91.27

Company's 52-week low was at $42.70

Price action over last quarter: Up 32.56%

Company Description

Taiwan Semiconductor Manufacturing is the world's largest dedicated chip foundry, with over 50% market share in 2018 (according to IC Insights). TSMC was founded in 1987 as a joint venture of Philips, the government of Taiwan, and private investors. It went public as an ADR in the U.S. in 1997. TSMC's scale and high-quality technology allow the firm to generate solid operating margins, even in the highly competitive foundry business. Furthermore, the shift to the fabless business model has created tailwinds for TSMC. The foundry leader has an illustrious customer base, including Apple and Nvidia, that looks to apply cutting-edge process technologies to its semiconductor designs.