TSMC Shares Rise 8.3% on Record-Quality Demand in Q4 2025

Taiwan Semiconductor Manufacturing Company (TSMC) recorded a significant stock rally, gaining 8.3% in early trading on January 15, 2026, following the release of its Q4 2025 financial results. The company reported revenue of NT$778 billion (approximately USD 25.9 billion), marking a 24% year-over-year growth and a 9% sequential increase, surpassing analyst expectations. This performance was primarily fueled by sustained demand for advanced-node semiconductors, particularly in the 3nm and 5nm process technologies. The surge in demand was concentrated across three key segments: AI accelerators accounted for 41% of total revenue in Q4, up from 32% in the same period last year; automotive electronics contributed NT$97 billion, a 17% rise; and high-performance computing (HPC) chips for data centers saw a 38% year-over-year increase in units shipped. TSMC’s advanced process node utilization reached 89%, reflecting strong client ramp-up across major tech firms including NVIDIA, Apple, and AMD. The company also announced a capital expenditure increase to NT$570 billion for 2026, with 60% allocated to expanding its 2nm production capacity in Kaohsiung and additional investment in process innovation. TSMC’s board approved a special dividend of NT$5 per share, signaling confidence in long-term cash generation. Market analysts noted the rally was amplified by broader sector momentum, with the semiconductor index (TWSE SMI) rising 6.2% on the same day. Investors are interpreting the results as validation of TSMC’s strategic positioning as the world’s leading foundry, particularly in sustaining supply for AI infrastructure rollouts and next-generation mobile platforms.