Jul. 16 at 10:48 AM
Pay attention, folks! During the conference call
$TSM just reinforced the bull case for semiconductor equipment. Q2 revenue beat expectations at
$40.2B, gross margin came in at an incredible 67.7%, full-year 2026 revenue growth was raised to >40%, and capital spending guidance increased to
$18.75B-
$20B. AI demand remains “strong,” with advanced 3nm/5nm technologies driving growth. More leading-edge wafer production means more inspection, metrology, and process control, the areas where KLA dominates. Everyone chases AI chip designers, but the manufacturers can’t scale without the equipment behind them. AI demand + higher fab spending = a powerful long-term setup for
$KLAC. Other beneficiaries include
$AMAT , LRCX, ASML,
$NVDA , AVGO, AMD and MU. In that order.
