Odd lot trades of contract chipmaker Taiwan Semiconductor Manufacturing Co’s (TSMC, 台積電) shares surged on Friday, although the stock faced headwinds, tumbling more than 5 percent in the session, the Taiwan Stock Exchange (TWSE) said.
The volume of odd lot trades of TSMC shares totaled about 9.84 million shares on Friday, up sharply by about 400 percent from Tuesday, in a session before the local stock market closed due to Typhoon Gaemi on Wednesday and Thursday, the TWSE added.
Stocks in Taiwan are usually bought or sold in lots of 1,000 shares. The nation lifted a ban on odd lots during regular trading hours in October 2020 to make it easier for retail investors to buy high-priced stocks in quantities of less than 1,000 shares.
Photo: Ann Wang, Reuters
TSMC on Friday shed 5.62 percent to close at NT$924, but traded above the nearest technical support at about the 60-day moving average of NT$910.00, TWSE data showed.
The heavy losses cut TSMC’s market capitalization by more than NT$1.42 trillion (US$43.3 billion) in one session to NT$23.96 trillion, the data showed.
The volume of odd lot trades of TSMC shares on Friday is the sixth-highest in the chipmaker’s history since its listing on Sept. 5, 1994, TWSE data showed.
The value of odd lot trades of TSMC shares on Friday totaled NT$9.12 billion, the second-highest for the chipmaker, TWSE data showed.
Analysts said the strong buying from retail investors indicated optimism about TSMC’s business outlook.
Odd lots provided investors with a good trading platform to own the stock.
As for iPhone assembler Hon Hai Precision Industry Co (鴻海精密), also known as Foxconn Technology Group (富士康科技集團), odd lot trades of its shares on Friday soared 183 percent from Tuesday to about 3.16 million shares, the seventh-highest in the company’s history since a listing on the main board on June 18, 1991, TWSE data showed.
The value of odd lot trades of Hon Hai, second to TSMC in terms of market value, totaled about NT$609 million on Friday, the fifth-largest for the world’s largest contract electronics maker, the data showed.
The strong buying by retail investors also showed they were willing to pick up bargains after Hon Hai shares tumbled 4.71 percent to end at NT$192, which wiped out its market cap by NT$131.7 billion to NT$2.66 trillion, the TWSE said.
CHANGE OF FORTUNES: Concern over a pricey valuation and the risk of tighter US curbs on chip sales to China have poured cold water on TSMC’s bullish momentum Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) shares fell the most in three months yesterday upon trading resumption, joining a global technology rout as investors dramatically soured on the promises of artificial intelligence (AI). The shares declined 5.62 percent to close at NT$924 in Taipei, dragging down the benchmark TAIEX, which fell 3.29 percent to 22,119.21 points amid a technical correction, Taiwan Stock Exchange data showed. Other chip stocks also fell, with ASE Technology Holding Co (日月光投控) plunging 9.86 percent, MediaTek Inc (聯發科) dropping 2.35 percent, Realtek Semiconductor Corp (瑞昱) falling 1.33 percent and United Microelectronics Corp (聯電) retreating 1.17 percent, while Apple
Taipei is today suspending work, classes and its US$2.4 trillion stock market as Typhoon Gaemi approaches Taiwan with strong winds and heavy rain. The nation is not conducting securities, currency or fixed income trading, statements from its stock and currency exchanges said. Authorities had yesterday issued a warning that the storm could affect people on land and canceled some ship crossings and domestic flights. Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) expects its local chipmaking fabs to maintain normal production, the company said in an e-mailed statement. The main chipmaker for Apple Inc and Nvidia Corp said it has activated routine typhoon alert
GROWTH: TSMC increased its projected revenue growth for this year to more than 25 percent, citing stronger-than-expected demand for AI devices and smartphones The Taiwan Institute of Economic Research (TIER, 台灣經濟研究院) yesterday raised its forecast for Taiwan’s GDP growth this year from 3.29 percent to 3.85 percent, as exports and private investment recovered faster than it predicted three months ago. The Taipei-based think tank also expects that Taiwan would see a 8.19 percent increase in exports this year, better than the 7.55 percent it projected in April, as US technology giants spent more money on artificial intelligence (AI) infrastructure and development. “There will be more AI servers going forward, but it remains to be seen if the momentum would extend to personal computers, smartphones and
INTEGRATION: Companies have shown a preference to keep divisions in one building, and want modern office spaces that can help boost efficiency, a consultancy said The vacancy rate for Grade-A offices in Taipei last quarter rose 0.5 percentage points, while rents climbed to a record NT$3,279 per ping (3.3m2), as demand remained healthy, property consultancy REPro Knight Frank (瑞普萊坊) said on Tuesday. Despite the uptick, the 6.4 percent vacancy rate during the April-to-June period is lower than the 20-year average and Taipei ranked the fourth-best performer in the Asia-Pacific region, after Seoul’s 1.5 percent, Tokyo’s 4.3 percent and Singapore’s 5 percent, the international broker said. The uptrend in office rents is due to inflation and the growing importance corporations assign to modern office spaces that can help