TSMC announced its earnings Monday afternoon in
According to the China Times Evening Edition:
posted after-tax earnings of NT 10.7 Billion for the
first half of the year.
This translates to NT 1.77
per share. TSMC closed at NT 79 on the Taiex in
Monday Trading. The current PE is 22. Revenues for the
first half stood at
NT 27.3 Billion.
(NT 1.77 x 1.45 x 5 x 2) / 34.35 =
Analysts in Taipei are expecting a short-term rally for
TSMC. It should also
be noted that Futures on the
Taiex index begins trading on Tuesday July
21 so it
should be interesting to see how the Taiex moves in the
I suspect that the run-up in TSM last Thurs. was
due to the earnings
report that came out
Jeff, when did you switch from KMT to Communist
Taiwan indeed has a goal to become one
of the world financial center but she never claim to
be one as of today. Chang by himself can not make
TSM what it is today. As a matter of fact, it was a
state own business and Chang got his position throught
his connection with KMT. Born in China does not make
him a genius. He maybe a good manager but there are
many as qualified Taiwanese.
Look at Acer
computer. A successful Taiwanese company build from scratch
without any goverment backing by a Taiwanese.
-Well, from the perspective of the Taiwanese authority,
Taiwan -is also an Utopia, the best place to reside in
Jeff, Tell us Where you will choose
to live, Taiwan or China ?
Basically, all the shit you put out on this board
is nothing but direct copy from the fucking books
you used in school. You are not inventive or
creative. Tell us something we can't find from the school
library. You are such a conceit, fucking asshole.
Hey, Bob! I've just found out that not only are
you a genuine formosa man, you are also a formosa
parrot. (So what would that make you? An animal with
human flesh? Possible! But that wouldn't qualify you as
the endangered species though, for there are just too
many of you there.)
I am extremely
disappointed by the contents of your response to my message.
You said absolutely nothing except agreeing and
copying my ideas and thoughts. All you did was
rephrasing, repackaging, and then reposting MY writing back
onto this message board.(By the way, are you running a
software piracy operation on formosa?) But that's ok! I
fully understand that you are intellectually incapable
of engaging in a debate with me so you had to do
this in order to cover your ass.
point, I'll rest my case and let facts speak for
Finally, I don't hate formosa but I do
feel sorry for its current conditions caused by the
WATCH OUT! We've got a
so-call "technical security analyst with a Ph.D. degree"
from Taiwan here who knows nothing but conning your
money by providing false and misleading investment
information to inexperienced investors just like you.
look before you leap!
Boy is it easy to push your buttons. That's the
great thing about children...
I guess my points
struck a chord, eh. Thus the ad hominum attack. But,
there was no real refutation there. Let me guess,
you're textbook is still at school so you can't explain
your accounting argument, yes?
started on Taiwan. That's the way it is and a 21yo's
revision won't fix that. Why? It was able to use Taiwan as
a cheaper production base. Is it moving now? Yep,
as needed. Why? Taiwan is getting too expensive. So,
why do they move to the US? Face. No more, No less.
If you understood the company, you'd know that. Many
big Taiwanese companies have a presence in the US.
They show it off to their customers there then move
production back to Taiwan once they determine the process.
Even Formosa Plastics Group has stuff in the US.
You are correct that TSMC's success is due to its
vision not its dividend policy. That's true of every
successful company. However, it's dividend policy reflects
the country it is listed in. The policy creates a
great deal of stress on managers to continuely improve
business. However, it is not an important factor in the
grand scheme of things. You see, once you've gone a few
more chapters in your book, you'll read that analysts
use something called "Weighted Average Shares." Look
it up in the index, then we'll talk about the
difference that makes. EPS means nothing. EPS growth means
everything. You should be glad that they keep expanding the
number of shares, that makes it possible for even penny
anty investors to buy shares. It stimulates demand and
all that. You'll find that in your econ
Finally Jeff, you should try to reason things and think
with a clear head before you spout off. I realize that
you hate Taiwan. That's nice. Who cares? I mean, if
it's really that bad, just call me a member of the
Germen National Socialist Party so we can Godwin this
and be done with it. Taiwan is the far and away the
healthiest economy in Asia. So, I suppose the, what did you
call it? "Formosa Way" works a lot better than the
S'pore or Malaysian way. Or even the PRC's way, I mean,
it's not like Taiwan has unemployment
To ACChiang (the person who asked about investing in
Taiwan or the US) Jeff's advice on investing is heavily
biased by his emotions regarding Taiwan. Jeff would not
invest in Taiwan, even if he could. I highly doubt Jeff
owns anything with "Taiwan" in the name, if you know
what I mean. And I think you
I think you must also refer to Taiwan as the
"Asian Pacific Financial Center," because that's how the
Taiwanese authority calls it, right? Well, from the
perspective of the Taiwanese authority, Taiwan is also an
Utopia, the best place to reside in the Galaxy. And you
concur on that too, right? I think not only are you a
parrot you are also the typical product of formosa. Your
image probably matches perfectly with those currently
running formosa and vice versa, just like twin brothers.
So of course you feel strongly about your almighty
Taiwanese ways of doing things, including analyzing
securities. However, I am not sure if you find your behavior
and thoughts quite contradictory and irrational. If
you and your kind are really so in-love with your
betel nut way of life and formosa traditions, then why
do you constantly yell and scream about becoming
internationalized and begging of being accepted by the upper
echelons of the international society? Furthermore, when
you run businesses and formosa with your almighty
formosa mentality, what have been the consequences? A
fucking gigantic mess on the island of formosa. Right?
Well, arn't you so proud of that?? If you really think
your taiwanese way of doing things is so superior, why
don't you write English with Taiwanese grammar??
At this point, I won't even bother to go over the
accounting and finance concept with you here, because you
are so uneducated. It just does'n worth my while.
Finally, for your education, TSMC's success
is due to its foresighted global business vision,
state of the art production facilities and a strong R&D
division, not its dividends policy. And Morris Chang is a
Chinese man born in Shanghai and educated in the United
States, which is also a major contributing factor to the
company's success. TSMC's success has absolutely nothing to
do with its presence on formosa and/or distributing
annual "stock dividends" generously. On the contrary,
should TSMC continue to distribute its stocks the way it
has been, or rather the formosa way, it shall soon
fail to generate sufficient frofit to boost it E/P and
will suffer drastic price plunges. (Can you understand
this?) Fortunately, TSMC has recently completed a major
production facility in the United States in conjunction with
acquiring a few small high-tech companies in an effort to
maintain its competitive position in the semiconductor
industry. Hopefully, pulling out of formosa completely will
be its next goal in the near future.
an advanced education in this area, so whatever I've
said can be supported by theoritical and practical
evidences. What about you? What are your credentials?
Hey, betel head, you want to become internationalized?
You want the United States to defend your
garbage-dump-site island in the face of a mojor Chinese military
invasion? You want to become an educated decent human
being? You want to become respectable?
It's not a formula really, just a conversation of
earnings per share in NT dollar terms to US
NT 1.77 = first half earnings--1st & 2nd Q.
1.45 is the split-adjusted factor (the price of TSMC
in Taiwan now reflects the split but the ADR does
5 = # of Taiwan shares per ADR shares
(multiply by two to give annual earnings in annual terms
since the recent earnings annoucement reflects Q 1& 2
34.35 = recent NT: US dollar exchange
I think if the math is correct, this will give the
earnings in US dollar terms.
The ADR trades at
almost a 20% premium over the TSMC shares on the
On the Taiex, TSMC is trading at a PE of 22 based on
this year's earnings, which is pretty cheap given that
the avg. PE on the Taiex is at 25. There is very
strong support for TSMC at the NT 71-78 range.
I am trying to understand
your formula and question, and hopefully provide an
answer to you. Can you explain what the numbers in you
"formula" mean, US$ or NT$ amount, FX rate....etc., and
where you got it from?