Analyst: Strong chip demand, TSMC able to absorb higher costs.

eToro's market analyst Josh Gilbert said that TSMC's strong performance and outlook indicate that strong demand for artificial intelligence not only offsets cost pressures. TSMC raised its annual revenue growth forecast in US dollars from around 30% to over 30% after announcing its first quarter performance. He said that despite conflicts in the Middle East and energy shocks raising chemical and natural gas prices, TSMC has the ability to demand a premium. The analyst said, "Companies building AI infrastructure are not cutting costs. Instead of cutting costs, they are accelerating." He said that TSMC's performance should also bring confidence to the upcoming earnings announcements of companies like Amazon, Meta, and Microsoft in the next few weeks. The stock closed at NT$2,085.00.