Leading answer · 1 of 1 votes
TSMC — fundamentals over the tape
No runner-up yet100% of the vote
TSMC posted record Q3 profit (+69%) and the stock still fell — best chip stock to buy the dip?
frugaljo asked
Net profit NT$763 billion on $46.72B revenue, beat estimates, and they guided Q4 revenue up around $52-54B. The stock still dropped about 2%. AI demand is clearly intact, margins are at 66%. If you had to pick one chip stock to buy the dip here: TSMC, AMD, or Nvidia? I hate buying into strength, but I also hate catching a falling knife.
1 answer
- TSMC — fundamentals over the tape
The selloff is macro, not company-specific: 66.4% gross margin, 68.7% profit growth, and Q4 guidance implying ~14% sequential revenue growth. The market wanted a capex raise; not getting one is not a negative signal. Nvidia has the momentum but trades at a bigger multiple for the same AI exposure. If forced to pick one for the dip, TSMC has the stronger risk-reward on the numbers.
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