Taiwan Semiconductor's 2022 Spending Plans Are Mind-Boggling
Shares of Taiwan Semiconductor Manufacturing (NYSE: TSM), better known as TSMC, surged on Thursday. The company reported fourth-quarter results that beat Wall Street's estimates and, perhaps more importantly, provided some impressive details on its plans for 2022.
Not surprisingly, given the global shortage of semiconductors and the company's market-leading position, TSMC's Q4 results were excellent. Strong demand for 5-nanometer chips gave the company tremendous operating leverage, helping drive its operating margin to 41.7% for the quarter, above its own guidance.
A TSMC semiconductor factory, or "fab", in Nanjing, China. TSMC will spend at least $40 billion on new facilities and manufacturing equipment this year. Image source: Taiwan Semiconductor Manufacturing Co., Ltd.
Source Fool.com