TSMC: Stock to Avoid or Incredible Buying Opportunity? (NYSE: TSM)
TSMC expects strong revenue growth, but it's also spending heavily to build new foundry capacity.
Overview
On Thursday, Taiwan Semiconductor Manufacturing (NYSE: TSM), better known as TSMC, released second-quarter earnings that blew away expectations. But management also noted it plans to increase its capital spending amid growing demand for advanced semiconductors. That includes another $100 billion commitment to build new facilities in Arizona on top of its existing plans to spend $165 billion in the U.S.
It seems the market is wary of that increased capital spending -- it sent shares lower on the news. But the sell-off the stock has been undergoing this month could be a buying opportunity for investors.
Image source: Taiwan Semiconductor Manufacturing.
Details
Source
Originally published at www.fool.com.
Related Articles
- A massive lettuce recall hits home as local restaurants shake up their salad menus
- Social Security's Historic 2027 COLA Just Disappeared, but the Program's First Silver Lining Since 2023 Remains on Track
- 27-year-old locksmith spent $7,000 on tools, works around the clock in NYC: 'I'd never held a screwdriver in my life' before starting