The Trade: Trump’s Taiwan comments stir chip industry uncertainty
IG's Hebe Chen analyses the effects of geopolitical tensions on Taiwan Semiconductor Manufacturing Company (TSMC), Netflix, and CSL stocks.
Originally recorded on Thursday, 19 July.
[AI generated]
IG’s Hebe Chen highlights TSMC's risks due to Donald Trump’s remarks about Taiwan, causing a 7% stock drop. Despite this, TSMC's expected 37% year-over-year earnings growth showcases its market dominance, controlling 60% of global chips.
Netflix faces high expectations for its upcoming earnings report. Despite delivering double beats previously, its stock dropped over 6%. Hebe anticipates a 5% price movement range, emphasising key psychological barriers investors are watching.
CSL's $300 mark is a crucial psychological barrier and Hebe notes that if momentum continues, CSL could reach $312, with potential to hit Macquarie Bank’s target of $330, supported by strong performance and positive projections.
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