HSI1 26,160.33 -233.93 238.04B
HSCEI1 8,845.02 -60.09 74.60B
Back    Zoom +    Zoom - Block Traded
HSBC Research: TSMC (TSM.US) ADR TP Elevated to US$520.62 as 1Q Results/ 2Q Guidance Beat
2026-04-17 14:43:56
TSMC (TSM.US)'s 1Q26 revenue was TWD1.134 trillion, up 8% QoQ, HSBC Global Research issued a research report saying. Gross margin reached 66.2%, exceeding its 63-65% guidance range and beating the expectations of both the broker and market.

Operating leverage drove operating margin to 58.1%, surpassing the 54-56% guidance range and also ahead of the forecasts of the broker and market. Margin improvement lifted EPS to TWD22.08, 7%/ 6% above the estimations of the broker/ market.

Management guided 2Q26 revenue to grow 11% QoQ, higher than the typical seasonal growth of 6% and above the anticipations of the broker/ market of 8%/ 7%.

Supported by ongoing cost optimization measures and higher unit selling prices, 2Q26 gross margin guidance was 66.5%, higher than both predictions of the broker and market, while operating margin guidance of 57.5% also exceeded their expectations.

HSBC Global Research raised its 2026 EPS forecast for TSMC by 5.6%, reflecting a bullish 2Q26 guidance and higher full-year USD-denominated revenue forecasts. Therefore, the broker elevated its target prices for TSMC's Taiwanese stock/ ADR from TWD2,700/ US$502.03 to TWD2,800/ US$520.62, with ratings kept at Buy.
~

AASTOCKS Financial News
Website: www.aastocks.com