1. TSMC anticipates first-quarter revenue at the lower end of guidance due to earthquake impact. 2. The earthquake is expected to cost TSMC approximately $161 million in revenue.
Lower revenue expectations could signal weakened demand or operational challenges. TSMC has faced similar scenarios previously, where natural disasters affected results.
Revenue changes directly impact investor sentiment and TSM's market valuation. Though temporary, this shift can affect long-term growth perceptions.
The earthquake's impact is immediate, influencing Q1 results directly but less so thereafter. Past instances indicate quick recovery post-disruptions but short-term pain in stock performance.