Alphabet Vs. Taiwan Semiconductor: What Is The Better Stock To Buy Right Now

Earnings Impact 4
โดย Yahoo Finance·Read original
Summary · why it matters

Alphabet and Taiwan Semiconductor both reported strong first-quarter 2026 results, highlighting divergent strategies in AI silicon. Alphabet's consolidated revenue rose 22% year-over-year to $109.9 billion, with Google Cloud surging 63% to $20 billion and a cloud backlog nearly doubling sequentially to $462 billion. TSMC posted revenue of NT$1.134 trillion, up 21.45% year-over-year, with high-performance computing now 61% of revenue and gross margin at 66.2%, though Chairman C.C. Wei noted advanced packaging capacity remains very tight. Alphabet is moving to deliver TPUs directly to customer data centers, pulling packaging decisions in-house, while TSMC guides for 2026 capital expenditure toward the high end of $52-56 billion and warns of significantly higher spending over the next three years. TSMC also flagged 2%-3% margin dilution from its 2-nanometer ramp and 2%-4% from overseas fabs, whereas Alphabet's vertical TPU stack sidesteps such capital-intensive exposure.

Impact on stocks 4

Semiconductors▼ · 2 stocks
Taiwan Semiconductor Co Ltd
5425
▼ NegativeCapitalrelevance

TSMC flagged 2%-3% margin dilution from 2nm ramp and 2%-4% from overseas fabs, and guided for high capex.

Artificial Intelligence▲ · 2 stocks
Alphabet Inc Class C
GOOG
▲ PositiveDemandrelevance

Google Cloud revenue surged 63% to $20 billion and cloud backlog nearly doubled to $462 billion, indicating strong end-customer demand.

Theme Impact 5

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