Senior Technology Analyst, Japanese Equities, LightStream Research

Scott Foster

Securities analyst covering electronics, precision equipment & robotics, engineering, construction, transport and other sectors for more than 25 years in Japan and 3 years in Korea. Permanent resident of Japan.

Senior Technology Analyst, Japanese Equities

TSMC – 2022 Could Be Great but What After?

TSMC – Long TSMC Short Nvidia Looks Exceptionally Attractive

TSMC – First Details of Japanese Investment Emerge

Battle Lines Drawn As BABA Builds Out First/Last-Mile Capacity; But Who Will Fund 75+ Bn CNY CapEx?

Long-Short Analysis on Japan, Asia and the World

LightStream Research

LightStream conducts quantitatively rigorous and data-driven analysis with a focus on Japan and Asia.

We consistently cover the Tech, Consumer and Industrial sectors, and provide ECM and Events coverage more broadly.

We supplement traditional qualitative insights from company relationships with a robust quantitative foundation that examines as much historical data as is available.
We further refine the accuracy of our insights and calls through the use of alternative data to flesh out current trends, and through a valuation framework that emphasises non-superficial peer group selection and a proper attempt to understand the metrics and changes that have driven security valuations in the past.

Equity Bottom-Up

Taiwan Semiconductor (TSMC) / Equity Bottom-Up

TSMC is dealing with increasing geopolitical and geophysical risks through a combination of advanced technology and overseas expansion.<ol>
<li>Recycling is the solution to water shortages in Taiwan and Arizona.</li>
<li>New production and R&amp;D facilities in the U.S. and Japan mark the beginning of large-scale operations in those countries. Investment in Europe seems likely to follow.</li>
<li>A 3D packaging venture with Japanese equipment and materials suppliers is taking the lead in back-end technology development.</li>
<li>Approval of a new fab at the 2-nm node in Taiwan should keep the world's most advanced front-end process technology at home.</li>
<li>TSMC and other companies are working with the Taiwanese government and local universities to increase the number of engineering graduates trained to work in the semiconductor industry.</li>
</ol>These initiatives address the main challenges facing TSMC as it navigates between China and the U.S. and creates new growth opportunities worldwide. We expect them to succeed. For a review of TSMC's latest overseas investment, see <a href="https://www.smartkarma.com/insights/tsmc-first-details-of-japanese-investment-emerge" target="_blank" data-smartkarma-citation="insights:58681" rel="noopener">TSMC – First Details of Japanese Investment Emerge</a> by Mio Kato.

TSMC is dealing with increasing geopolitical and geophysical risks through a combination of advanced technology and overseas expansion.
Recycling is the solution to water shortages in Taiwan and Arizona.
New production and R&amp;D facilities in the U.S. and Japan mark the beginning of large-scale operations in those countries. Investment in Europe seems likely to follow.
A 3D packaging venture with Japanese equipment and materials suppliers is taking the lead in back-end technology development.
Approval of a new fab at the 2-nm node in Taiwan should keep the world's most advanced front-end process technology at home.
TSMC and other companies are working with the Taiwanese government and local universities to increase the number of engineering graduates trained to work in the semiconductor industry.
These initiatives address the main challenges facing TSMC as it navigates between China and the U.S. and creates new growth opportunities worldwide. We expect them to succeed. For a review of TSMC's latest overseas investment, see TSMC – First Details of Japanese Investment Emerge by Mio Kato.

TSMC (2330 TT): Future Growth Through Advanced Technology and Overseas Expansion