Asian Chip Stocks Jump as Nvidia Lifts Sales Forecast After Earnings Beat

Asian semiconductor stocks rallied on Thursday after Nvidia reported stronger-than-expected third-quarter earnings and issued a hotter-than-expected sales outlook, signaling continued momentum in the global AI boom.

South Korea’s SK Hynix surged about 4%, benefiting from its position as Nvidia’s top supplier of high-bandwidth memory used in AI systems. Samsung Electronics, another major Nvidia memory supplier, rose nearly 4% as it pushes to close the gap with SK Hynix in advanced memory technology.

In Taiwan, TSMC, the world’s largest contract chipmaker and manufacturer of most Nvidia GPU designs, gained around 4%. Hon Hai Precision (Foxconn) added 3.28% on expectations of growing demand for AI server racks.

Japan also saw strong gains. Renesas Electronics rose about 4%, Tokyo Electron jumped 5.87%, and Lasertec climbed 6%, supported by increased optimism surrounding chip equipment and AI-related manufacturing. Tech giant SoftBank surged nearly 7%, helped by its deeper involvement in global AI infrastructure projects, despite having sold its Nvidia stake.

Analysts said Nvidia’s results should help calm recent market worries about an AI bubble. The company’s robust forecast indicates broad AI demand, from AI-native startups to global enterprises, is continuing to expand.

“Demand is diversified,” said Rolf Bulk of New Street Research, noting that Nvidia’s strong quarter could prompt higher earnings estimates for major suppliers including TSMC, SK Hynix, and Samsung, as well as the wider Asian semiconductor supply chain.

Nvidia CEO Jensen Huang dismissed bubble fears on the company’s earnings call, saying, “From our vantage point, we see something very different.”