📊 PRO: This Week in Visuals
TSM, UNH, JNJ, AXP, ISRG, UAL
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Today at a glance:
⚙️ TSMC: AI Boom Continues
💼 UnitedHealth: Rare Outlook Miss
💊 Johnson & Johnson: Talc Progress
💳 American Express: Cautious Cardholders
🦾 Intuitive Surgical: Procedure Acceleration
🛩️ United Airlines: Cutting Excess Flights
1. ⚙️ TSMC: AI Boom Continues
TSMC—the world's leading chip manufacturer—showed continued strength in Q3, fueled by robust demand for AI chips. Net revenue grew 36% to $23.5 billion ($0.2 billion beat). High Performance Computing (HPC) now accounts for 51% of total revenue, up from 42% last year. The company's advanced 3nm technology contributed 20% of wafer revenue, up from 6% last year, highlighting the increasing importance of cutting-edge chips in meeting AI demand. Gross and operating margins improved more than expected.
TSMC raised its FY24 revenue growth forecast to 30% (up from mid-20s) and expects capital expenditure to be slightly over $30 billion in 2024 (the lower end of the $30-$32 billion forecasted previously) but with higher spending planned for 2025.
The company remains committed to global expansion, including new fabs in Arizona, to support its customers' growth and maintain its leadership in the semiconductor industry. Despite geopolitical uncertainties, TSMC delivered a blowout quarter as a key enabler of the AI revolution. CEO C.C. Wei was particularly bullish: "The demand is real, and I believe it's just the beginning."