Semi_dig |Review of $TSMC's Revenue in June
Review of $Taiwan Semiconductor Manufacturing(TSM)$ 's revenue in June.
Before the US stock market opened today, wafer manufacturing leader $Taiwan Semiconductor Manufacturing(TSM)$ announced its revenue of June, which was 156.404 billion NT dollars, down 11.1% year-on-year：
So far, $Taiwan Semiconductor Manufacturing(TSM)$ ’s total revenue in the second quarter was NT$480.8 billion, exceeding analysts’ expectations of NT$476.2 billion.
Although the revenue in the second quarter exceeded expectations, $Taiwan Semiconductor Manufacturing(TSM)$ opened lower by more than 1% before the market. It can be seen that the market believes that this report card is not as expected:
Why is there such a contrast between expectations and reality?
Excluding the impact of the exchange rate in the second quarter, $Taiwan Semiconductor Manufacturing(TSM)$ ’s revenue in the current quarter fell in the middle of the guidance. Therefore, although the revenue slightly exceeded expectations, the effect on the stock price was limited, far less than the shock brought by $NVIDIA Corp(NVDA)$ ’s performance guidance.
In addition, from the perspective of monthly income trends, compared with the semiconductor down cycle in 2019, the bottom failed to achieve a V-shaped reversal like last time:
The main reason for the drag is that the downturn in demand for smartphones exceeded expectations. According to the forecast of market research firm DIGITIMES Research, global smartphone shipments will decline by 6.4% year-on-year in Q2 of 2023.
According to analysts' forecasts, $Taiwan Semiconductor Manufacturing(TSM)$ 's revenue growth rate in the third quarter is expected to decline by 10.6%, which is close to the decline in the second quarter.
We will have to wait until July 20th when $Taiwan Semiconductor Manufacturing(TSM)$ releases its second-quarter report to see what guidance the management will provide.
From the perspective of valuation, $Taiwan Semiconductor Manufacturing(TSM)$ ’s price-to-book ratio is higher than the average value of the past 10 years. It is expected that the stock price will advance in twists and turns before the fundamentals completely improve. Buying on dips is still the best strategy. After all, semiconductors will be in AI Ushered in a new boom under the leadership of:
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