Taiwanese foundry TSMC has become the world’s largest chipmaker in terms of market cap, beating Samsung. At the time of writing, TSMC’s market value was a whopping $306.3 billion, followed by Samsung at $261 billion and NVIDIA at $257.7 billion.
TSMC’s shares remained some of the most lucrative with a price of $372, second to only NVIDIA in the industry. The Taiwanese firm remained the de-factor foundry, accounting for 51.9% of all chips in Q2 2020. In comparison, Samsung was limited to less than half of this figure, holding onto just 18.8% of the market.
Earlier this week, TSMC announced its Q2 earnings for this year, slightly beating estimates with an increase of 34% YoY and a mild growth of 0.8% compared to Q1. The revenue outlook Q3 remains positive, with an expected profit of US$11.2 to $11.5 billion. That’s a growth of around 7-10% compared to Q2 and around ~20% YoY. The gross profit margins are expected to be somewhere between 50 and 52% while the operating margins between 39 to 41%.
Meanwhile, TSMC has confirmed that it will cease accepting orders from Huawei, starting this September. The Chinese smartphone maker was the foundry’s second-largest client. However, thanks to AMD and Apple stepping up their 5nm orders, the company’s outlook for 2020 remains more or less unchanged.