Taiwan Semiconductor Manufacturing (TSM) Reports Q1 EPS Beat

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is one of the 10 Best Debt Free Blue Chip Stocks to Invest In.

On April 15, 2026, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) reported Q1 EPS of $3.49, ahead of the $3.36 consensus estimate, on revenue of $35.9B, up 40.6% year-over-year and 6.4% sequentially. Gross margin for the quarter came in at 66.2%, with operating margin at 58.1% and net profit margin at 50.5%. CFO Wendell Huang said performance was driven by strong demand for the company’s leading-edge process technologies, a trend he expects to continue into the second quarter.

For Q2 2026, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) guided revenue to $39B–$40.2B, with gross margin expected between 65.5% and 67.5% and operating margin between 56.5% and 58.5%.

Taiwan Semiconductor Manufacturing (TSM) Reports Q1 EPS Beat

Close-up of Silicon Die are being Extracted from Semiconductor Wafer and Attached to Substrate by Pick and Place Machine. Computer Chip Manufacturing at Fab. Semiconductor Packaging Process.

Following the earnings release, Needham raised its price target on Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) to $480 from $410 previously and maintained a Buy rating on the shares.

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) pioneered the dedicated IC foundry model and manufactures a broad range of semiconductor products for global customers across multiple end markets.

While we acknowledge the risk and potential of TSM as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than TSM and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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