4 Things to Know About TSMC’s Growing Chinese Semiconductor Rival
TSMC's (NYSE: TSM) stock recently hit an all-time high after Intel (NASDAQ: INTC) disclosed a delay for its 7 nanometer (nm) chips, and AMD posted strong second-quarter earnings. Intel's setback indicated it remained behind TSMC, the world's most advanced chip foundry, in the "process race" to create smaller and denser chips. The impressive numbers from AMD, one of TSMC's top customers, highlighted the robust demand for its 7nm manufacturing process.
Wall Street expects TSMC's revenue and earnings to rise 28% and 34%, respectively, this year, which are impressive growth rates for a stock that trades at 26 times forward earnings. TSMC's future looks bright, but investors shouldn't overlook four key facts about its growing rival in China: SMIC (OTC: SMIC.Y).
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Source Fool.com