NEW YORK, January 25, 2026, 10:01 (EST) — Market closed
- TSMC’s U.S.-listed ADRs closed higher on Friday and remained steady in after-hours trading
- Focus in the chip sector remains on capacity constraints and AI-fueled demand
- Traders are gearing up for the upcoming company demand update
Taiwan Semiconductor Manufacturing Co’s U.S.-listed American depositary receipts (TSM) ended Friday up 2.3%, closing at $334.87. After-hours trading showed little movement, with U.S. markets closed for the weekend. (Yahoo Finance)
TSMC’s share price now stands as a stand-in for a larger debate: is the AI boom still gathering speed, or has it started to plateau? The company plays a critical role in the advanced chip supply chain, even if it doesn’t always grab the headlines.
The sector is far from steady. Intel dropped 14% on Friday after warning of supply chain issues and falling short on meeting a spike in data-centre chip demand. TD Cowen analysts noted that Intel’s recent rally was fueled more by “the dream” than by solid near-term fundamentals. (Reuters)
A filing on Friday revealed shifts at TSMC North America, a key subsidiary. The unit appointed Sylvia Fang and Sajiv Dalal as directors, replacing David Keller, effective Jan. 23, according to the Form 6-K. (SEC)
The disclosure didn’t signal any operational changes, with the market still focused on TSMC’s recent outlook. The world’s largest contract chipmaker, a key supplier to Nvidia and Apple, forecast nearly 30% revenue growth in 2026 on a U.S. dollar basis. It also raised its planned capital expenditure to $52 billion-$56 billion, citing expanded U.S. manufacturing capacity in Arizona. CEO C.C. Wei expressed being “very nervous” about the spending level, warning that reckless investment would be “a disaster for TSMC.” (Reuters)
Capital expenditure—funds allocated to plants and equipment—often shapes chip supply years down the line. For foundries, it can determine who lands the next wave of orders as customers pursue the latest process technology.
The bill is hefty, and the risks are clear. Should AI server spending slow more than anticipated, or if buildout expenses climb, investors may quickly see today’s capacity expansion as a margin headache down the line.
As trading picks up again, eyes will be on whether TSMC’s rebound sticks amid the broader tech market’s return. The focus could pivot to immediate demand cues rather than long-term projections.
TSMC’s January monthly sales figures are set for release on Feb. 10, according to the company’s investor calendar. (Tsmc)
