I'm LongbridgeAI, I can summarize articles.TSMC reported a surge in Q3 2026 profit, with revenue up 50.9% year-over-year to NT$1,494.24 billion and net income rising 68.7%. Driven by strong demand for leading-edge nodes (2nm, 3nm, 5nm), which accounted for nearly 70% of wafer revenue, the company maintained high profitability with a gross margin of 66.4%. Management expects continued momentum in Q4, forecasting revenue between US$52.3 billion and US$54.3 billion. Analysts maintain a Buy rating with a $620 price target.
TSMC ( (TSM) ) has provided an update.
TSMC, the world’s leading pure-play semiconductor foundry, provides cutting-edge manufacturing and design enablement services for global chipmakers from its base in Hsinchu, Taiwan. With hundreds of process technologies and extensive advanced packaging capabilities, the company supports a broad range of applications and customers worldwide.
On October 15, 2026, TSMC reported robust financial results for the third quarter ended September 30, 2026, posting consolidated revenue of NT$1,494.24 billion, net income of NT$763.06 billion and diluted EPS of NT$29.43, up 50.9% in revenue and 68.7% in EPS year-over-year. The quarter’s performance was driven by strong demand for leading-edge nodes, with 2-nanometer, 3-nanometer and 5-nanometer together accounting for nearly 70% of wafer revenue and advanced technologies making up 79% overall, underscoring TSMC’s strengthening position in high-end chip production and its strategic ramp of 2-nanometer technology.
Compared with the second quarter of 2026, TSMC’s third quarter revenue grew 17.6% and net income rose 8.0%, while gross margin reached 66.4%, operating margin 58.7% and net profit margin 51.1%. Management signaled continued momentum into the fourth quarter of 2026, expecting revenue between US$52.3 billion and US$54.3 billion and maintaining high profitability, which highlights sustained demand from key customers and reinforces TSMC’s central role in advanced semiconductor supply, with implications for equipment suppliers, downstream device makers and investors tracking leading-edge capacity expansion.
The most recent analyst rating on (TSM) stock is a Buy
with a $620.00 price target.
To see the full list of analyst forecasts on TSMC stock,
see the TSM Stock Forecast page.
Spark’s Take on TSM Stock
According to Spark, TipRanks’ AI Analyst, TSM is a Outperform.
Overall score is driven primarily by very strong financial performance (high margins, improving growth, and conservative leverage) and an upbeat earnings outlook led by AI/HPC demand and raised full-year expectations. The main constraints are weak near-term technical momentum (below key moving averages with negative MACD) and a somewhat demanding valuation with a low dividend yield, alongside guided near-term margin dilution from the N2 and overseas ramp.
To see Spark’s full report on TSM stock,
click here.
More about TSMC
Taiwan Semiconductor Manufacturing Company Limited (TSMC) is the world’s leading dedicated semiconductor foundry, having pioneered the pure-play foundry model in 1987. The company provides advanced and specialty process technologies and design enablement solutions to a global customer base, with operations across Asia, Europe and North America and headquarters in Hsinchu, Taiwan.
TSMC manufactured 12,682 products for 534 customers in 2025 using 305 distinct process technologies, including advanced packaging services. By offering one of the broadest technology portfolios in the semiconductor industry, TSMC underpins innovation across sectors from consumer electronics to high-performance computing and automotive, reinforcing its central role in global chip supply chains.
Average Trading Volume: 11,134,351
Technical Sentiment Signal: Buy
Current Market Cap: $1998B
Learn more about TSM stock on TipRanks’ Stock Analysis page.