ETF volatility | ISHARES MSCI TW rose over 3% as Taiwan Semiconductor will hold its second-quarter analyst meeting next week, Citigroup expects it to raise its 2026 revenue guidance
ISHARES MSCI TAIWAN rose over 2.7%. Influenced by Taiwan Semiconductor's analyst meeting scheduled for July 16, Citigroup expects it to raise its revenue guidance for 2026, mainly benefiting from demand for advanced chips and scale advantages; GF Securities also believes that Taiwan Semiconductor is likely to accelerate capacity expansion and raise its performance guidance in 2027
According to Zhitong Finance APP, ISHARES MSCI TAIWAN (03074) rose over 3%, and as of the time of writing, it is up 2.72%, priced at HKD 381.1, with a transaction volume of HKD 2.4986 million. It is reported that ISHARES MSCI TAIWAN covers approximately 85% of the free float market capitalization of Taiwanese stocks, with a heavy concentration in the semiconductor and electronic information technology sectors, where technology stocks account for nearly 90%, with Taiwan Semiconductor (TSM.US) being the absolute core weight.
In terms of news, Taiwan Semiconductor will hold its 2026 Q2 analyst meeting on July 16. GF Securities pointed out that Taiwan Semiconductor's capital expenditure acceleration began in 2025, lagging about 1.5 to 2 years behind the start of the AI demand cycle, which means some loss of market share or demand overflow is inevitable. Therefore, it is expected that Taiwan Semiconductor may further accelerate capacity expansion at the N5/N3/N2 nodes in the second half of 2027, accompanied by strategic pricing adjustments. GF Securities expects that Taiwan Semiconductor is likely to raise its full-year performance guidance at that time.
Citigroup analysts stated in their research report that Taiwan Semiconductor may further raise its revenue growth expectations for 2026 during the upcoming earnings call, mainly due to the continued demand for advanced chips and improved long-term visibility. Analysts believe that compared to its peers, Taiwan Semiconductor's most prominent advantage lies in its capacity scale. Despite increasing competition in the foundry sector, this scale advantage will continue to support wafer pricing, customer stickiness, and the sustainability of gross margins. Citigroup also stated that regardless of changes in customer structure, Taiwan Semiconductor will remain a major beneficiary of the continued growth in AI semiconductor demand
