TSM.US's November revenue slightly exceeded expectations. Wade Bush is optimistic that AI and advanced manufacturing processes will drive profits

The Zhitong Finance App learned that Wade Bush Securities indicated that TSM.US (TSM.US)'s November revenue had helped it slightly exceed the market's original expectations. Matt Bryson, an analyst at the bank, said that the appreciation of the US dollar brought additional benefits: sales revenue and gross margin in Taiwan dollars rose at the same time, making the company exceed expectations in local currency terms greater than in dollar terms. Bryson maintained TSMC's “outperforming market” rating, and the target price was set at NT$1,700.

He further pointed out that judging from recent exchanges, the “seasonal impact on AI data center spending is very limited, or even almost non-existent.”

“As a result, our current profit model for TSMC's fourth quarter is probably too conservative. As 2026 unfolds, the company also has two additional impetus: the average price of the product continues to rise, and the product portfolio is further skewed towards more advanced new processes (including 2 nm wafers), both of which will bring more upside than currently predicted.” Bryson added.

According to information, TSMC announced the latest performance report for November 2025 on December 10, 2025. Key data shows that although revenue declined slightly month-on-month, it still achieved strong year-over-year growth. According to financial reports, TSMC's revenue in November increased 24.5% year-on-year to approximately NT$343.61 billion, but decreased 6.5% from October.

This company, which produces chips for the world's top technology companies such as Apple, Nvidia, and AMD, had sales of approximately NT$367.473 billion in October this year. The cumulative revenue from January to November this year reached NT$3.474 trillion, an increase of 32.8% over the same period in 2024.

TSMC CEO Wei Zhejia previously said that advanced process production capacity was “still insufficient,” and revealed that according to major customer product plans and growth expectations, the current production capacity is still about 3 times lower.

Wei Zhejia said that the compound annual revenue growth rate of the AI accelerator from 2024 to 2029 is expected to be better than the previous estimate of 44% to 46%, and the specific data will be updated early next year. The fourth quarter operation will continue to benefit from strong demand for advanced processes. The recent development of the AI market is very positive, and the customer outlook remains strong, making the company's belief in AI trends more and more firm.