U.S. chip stocks dip after TSMC's outlook disappoints
sankai
U.S. chipmakers traded lower in Thursday's premarket hours after Taiwan Semiconductor (NYSE:TSM) issued a disappointing revenue forecast for the current quarter.
The Taiwanese chipmaker expects revenue of $15.2B to $16B for the second quarter ending June 30, 2023, down from $18.16B a year prior.
Q1 revenue fell 4.8% Y/Y to $16.72B, with chief executive C.C. Wei noting in an earnings call that the results were hurt by "softening end-market demand," while inventory levels were "much higher" than expected and that could extend into the third quarter.
The company kept its capital expenditure forecast for the year unchanged at $32B-$36B.
U.S. chipmakers that fell on the news include: Nvidia (NVDA) -1.3%, Advanced Micro Devices (AMD) -1.5%, Intel (INTC) -1%, Micron (MU) -1.04%