TAIPEI (Taiwan News) — Taiwan’s stock market closed higher Monday in volatile trading, with gains across technology-related sectors helping offset weakness in TSMC.
The Taiwan Capitalization Weighted Stock Index (TAIEX) rose 186.12 points to close at 41,790.06. Turnover totaled NT$1.1 trillion (US$35.5 billion), according to CNA and CTEE.
TSMC fell 2.4% to NT$2,235, closing at the session’s low. The stock came under pressure after investors reacted to reports of a preliminary agreement between Apple and Intel to produce chips for certain devices, according to SETN.
Market participants viewed the development as a potential diversification of Apple’s supply chain. However, semiconductor sources said Intel is among TSMC’s top 10 customers, and its core PC central processing unit business still relies on TSMC for manufacturing, according to LTN.
In contrast, MediaTek climbed 6.89% to NT$3,880. Delta Electronics rose 2.05% to NT$2,245, according to Anue.
Foxconn added 0.8% to close at NT$252. Senior analyst Hsu Po-chieh (許博傑) said the stock could move toward NT$300, based on estimated earnings per share of NT$19 this year and NT$23 next year and a price-to-earnings ratio range of 15 to 20 times, according to CTEE.
High-priced IC design stocks attracted strong buying interest, with Alchip Technologies and Global Unichip both hitting limit-up levels. IC design refers to the process of defining chip functions and creating circuit layouts using software before semiconductor manufacturing, according to Stockfeel.
The DRAM memory chip sector advanced broadly. Nanya Technology, Winbond Electronics, Transcend Information, Phison Electronics, and Innodisk all reached limit-up levels.
The gains were supported by tight supply conditions and rising prices driven by AI-related demand. Several companies reported strong first-quarter earnings, with some exceeding full-year 2025 profits, and expect second-quarter results to improve further, according to LTN.
Power semiconductor stocks also strengthened, with Panjit International and Eris Technology both hitting limit-up levels after reports that China’s Yangzhou Yangjie Electronic Technology was included in the European Union’s latest sanctions package over alleged links to Russia’s military supply chain, according to CTEE.
The development has contributed to tighter supply expectations in parts of the power semiconductor sector, which is already constrained by strong demand from AI data centers and edge AI applications. The market viewed these conditions as supportive for Panjit and Eris.
The cooling and thermal management sector also saw positive momentum after recent declines related to Nvidia’s next-generation Vera Rubin architecture and its revised cooling design requirements. Jentech Precision Industrial hit limit-up, while Asia Vital Components gained 4.5%.
Nomura fund manager Yao Yu-ju (姚郁如) said the current rally is primarily driven by fundamentals, including stronger-than-expected earnings from leading technology firms and upward revisions to TSMC’s full-year outlook. She added that improved earnings visibility has supported the continuation of the market’s upward trend.
Analysts said Taiwan’s position in the AI semiconductor supply chain remains stable in the near term, regardless of broader geopolitical developments. Large-cap technology names including TSMC, MediaTek, and Foxconn, along with high-performance computing-related suppliers, continue to underpin market performance.
This information is not intended as personalized financial advice. Investors are encouraged to conduct their own research and analysis before making investment decisions.
