What TSMC Sales Growth Means for Apple and Nvidia Stocks -- Barrons.com

By Adam Clark

Taiwan Semiconductor Manufacturing reported sales growth ahead of its yearly outlook for July. It's another sign that the artificial-intelligence trade has plenty of room left to run.

TSMC's July revenue came to 467.58 billion New Taiwan dollars ($14.50 billion), up 45% from the same month a year earlier. In its most recent earnings, TSMC raised its forecast for 2026 revenue growth to more than 40% in U.S. dollar terms, from more than 30% previously.

While TSMC doesn't release commentary or a detailed breakdown of its revenue alongside monthly figures, its growth is being driven by the need for AI chips. For the period from January to July, its year-over-year sales were up 37%.

TSMC is the main supplier of chips to Nvidia, the leader in semiconductors used for AI applications. TSMC also makes the core processors inside Apple iPhones, Qualcomm mobile chipsets, and processors made by Advanced Micro Devices.

The company's ability to increase sales at such a rate could reassure investors that it won't become a major bottleneck in the AI supply chain. The Taiwanese chip manufacturer is racing to keep up with demand for its services, especially advanced packaging. Meanwhile, American rival Intel is hoping to entice some of its customers to use its own embedded multi-die interconnect Bridge, or EMIB, packaging technology as an alternative to TSMC's chip-on-wafer-on-substrate, or CoWoS.

American depositary receipts of TSMC were down 0.1% in the premarket. The ADRs have risen 38% this year so far through Friday's close.

Write to Adam Clark at adam.clark@barrons.com

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August 10, 2026 08:20 ET (12:20 GMT)