Taipei, February 1, 2026, 08:06 (GMT+08) — The market has closed.
- Taiwan-listed shares dropped 4.19% Friday, while the U.S.-listed ADR slipped 4.04%.
- The Philadelphia Semiconductor Index dropped 3.87% during the session, dragging chip-related stocks down with it.
- Ahead of the Feb. 5 earnings conference, investors are positioning themselves to catch clues on demand and spending.
ASE Technology Holding Co., Ltd. saw its shares take a steep hit in the final session, mirroring a broader slide in chip stocks ahead of a major earnings report. On the Taiwan Stock Exchange, the stock dropped 4.19% to end at NT$297. Meanwhile, its U.S.-listed ADR — which stands for American depositary receipt — slipped 4.04%, closing at $18.98. (The Wall Street Journal)
Timing is key here. Chip stocks slumped as the month closed, while packaging-and-testing firms such as ASE often react sharply during shifts in risk appetite. The Philadelphia Semiconductor Index, a key barometer for the sector, dropped 3.87% on Friday. (Investing)
ASE has its next event lined up. According to its investor relations calendar, the “2025 Q4 Earnings Conference” is scheduled for Feb. 5. (ASE Global)
Investors want a clear picture of demand for advanced packaging—the crucial back-end process linking chips and handling power and heat. They’ll also watch closely to see if the tight supply of high-end services is loosening. Signals on pricing, capacity, and delivery timings could be just as important as the main profit numbers.
The decline wasn’t unique. Amkor Technology, a major player in outsourced semiconductor assembly and testing, dropped 3.34% Friday, per Investing.com. (Investing)
Management’s latest comments suggest they’ll keep spending through the cycle, despite a patchy short-term outlook. On the Oct. 30 earnings call, Joseph Tung said the firm is “not going to be shy” about investing, while Ken Shung highlighted how AI demand is raising the stakes for chips and their packaging. The company forecasted fourth-quarter consolidated revenue growth of 1% to 2% sequentially, with the assembly-testing-materials segment expected to climb 3% to 5%. (Investing)
Traders are now focused on whether those targets stayed intact through year-end and what lies ahead: 2026 capital spending (capex) plans, utilization rates and margins in premium packaging and testing, plus any weak spots linked to consumer electronics.
But the risk here is the market might be pricing in more than the basics justify. If customers hold back orders, push out product ramps, or work through inventory, heavy spending on factories and equipment could tighten returns. That can trigger sharp stock re-pricing—often without much notice.
Markets are closed over the weekend, so all eyes turn to Monday’s open to see how much of Friday’s drop in the chip sector sticks. After that, the spotlight moves to Feb. 5, when ASE will reveal insights on demand, capacity, and spending plans for the coming months.
