Chip stocks pop after TSMC's earnings beat boosts confidence in industrywide demand

Shares of chipmakers AMD and Nvidia popped along with equipment makers like Applied Materials after TSMC reported better-than-expected results.

Chip stocks pop after TSMC's earnings beat boosts confidence in industrywide demand

TL;DR

  • TSMC reported a 35% year-over-year profit growth for the quarter, exceeding expectations.
  • Chipmakers Nvidia, AMD, and Broadcom saw their shares rise following TSMC's announcement.
  • TSMC anticipates continued strong demand for its leading-edge process technologies, particularly for AI applications.
  • The VanEck Semiconductor exchange-traded fund, heavily weighted with chip stocks, closed up 2%.
  • Other semiconductor-related companies like Lam Research and Micron also experienced stock increases.