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TSMC’s Earnings Surge Underscore AI Supply Squeeze as Intel and AMD Are Upgraded

Heavy cloud spending has sold out much of 2026 server-CPU capacity, giving chipmakers pricing power and drawing broad analyst support for AI infrastructure leaders.

Overview

  • Taiwan Semiconductor reported Q4 revenue of $33.73 billion with net income up 35% year over year and a 62.3% gross margin, guided Q1 2026 revenue above expectations, and projected roughly 30% 2026 growth with $52–$56 billion in capex focused on advanced technologies.
  • CEO C. C. Wei called AI a multi-year megatrend, said capacity remains tight, detailed plans to expand U.S. manufacturing, and emphasized that pricing remains strategic rather than opportunistic.
  • KeyBanc upgraded Intel and AMD to Overweight, saying their 2026 server-CPU capacity is largely sold out and that both are considering 10%–15% price increases; Intel rose about 7% and AMD more than 6% on the news.
  • KeyBanc projected AMD’s 2026 AI revenue at roughly $14–$15 billion on MI355/MI455 shipments and Helios platform ramps, and highlighted Intel’s 18A yields above 60% that could make it a credible No. 2 foundry behind TSMC.
  • Broadcom is overwhelmingly rated a buy by analysts as an AI-infrastructure beneficiary, and Nvidia maintains dominant GPU share with sustained data-center demand.