The TAIEX fell for the first day in three yesterday. Nanya Technology Corp (南亞科技), the nation's largest maker of computer-memory chips, declined after it reported an unexpected loss in the third quarter compared with a profit a year ago.
Acer Inc gained after saying it will spend as much as NT$14.8 billion (US$439 million) to buy back its shares.
The TAIEX shed 34.05, or 0.6 percent, to 5,938.42, ending a two-day, 2.6 percent gain. About seven stocks declined for every four that gained. The futures contract for October delivery lost 0.8 percent to 5,979.
About 5.8 billion shares changed hands, 36 percent above the three-month, daily average. Shares worth NT$121.7 billion traded, 24 percent above the three-month daily average.
"Investors are closely monitoring profit reports and quickly adjusting their investments, switching from weak performers to companies with good growth," said Eddie Chiu, who manages the equivalent of US$116 million for First Global Investment Trust Co's (
Nanya Technology dropped NT$1.70, or 6.9 percent, to NT$22.90. Nanya said its net loss was NT$169 million in the three months ended Sept. 30, compared with net income of NT$586 million a year ago, partly because of higher costs to test its semiconductors.
Acer climbed NT$0.50, or 1 percent, to NT$48.50, adding to a two-day, 6.2 percent rally. The company will buy as many as 40 million shares for as much as NT$52 each starting today for two months, it said in a statement to the Taiwan stock exchange. Acer will offer a premium of more than 8 percent for the shares, based on their closing price on Monday.
AU Optronics Corp (友達光電), the world's No. 3 maker of flat-panel displays for personal computers, rose NT$0.20, or 0.4 percent, to NT$45.20. AU Optronics was raised to "overweight/positive" from "equal-weight/neutral" by David Toh, an analyst at Lehman Brothers.
Uni-President Enterprises Corp (統一企業), the nation's largest food processor, gained NT$0.15, or 1.2 percent, to NT$13.15.
Uni-President plans to spend as much as NT$6.1 billion to buy back a 2.9 percent stake in itself starting yesterday. It plans to buy back as many as 100 million shares for as much as NT$14 each, it said in a statement to the Taiwan Stock Exchange.
VIA Technologies Inc (威盛電子), the world's second-largest maker of chipsets for personal computers, shed NT$0.50, or 0.9 percent, to NT$54.
POOR INTERNAL CONTROLS: Insurance Bureau Director-General Shih Chiung-hwa said the company is expected to get back on track while its chairman is suspended The Financial Supervisory Commission (FSC) yesterday fined Shin Kong Life Insurance Co (新光人壽) NT$27.6 million (US$939,415) for a reckless investment that endangered its solvency, and suspended its chairman Eugene Wu (吳東進) for poor supervision. The penalty is the second-highest in a single case after Nan Shan Life Insurance Co (南山人壽) was fined NT$30 million in September last year and its chairman Du Ying-tzyong (杜英宗) suspended for two years, the commission said. In three rounds of special and regular examinations conducted since last year, the commission found that Shin Kong Life had given too much power to an asset and liability management committee
Nano-X Imaging Ltd, a start-up founded by Israeli investor Ran Poliakine, is joining forces with South Korean chipmaker SK Hynix Inc to build a machine that could disrupt a century-old X-ray industry. Valued at about US$2 billion after listing on the NASDAQ last month, Nano-X is seeking to transform a multibillion-dollar industry that has essentially relied on the same technology since Nobel Prize in Physics winner Wilhelm Roentgen discovered X-rays in the late 19th century. Nano-X’s device uses semiconductors instead of metal filaments to generate X-rays. The backing of SK Hynix, the world’s second-largest maker of memory chips, is a boost for
Continental AG, which makes control units for Daimler AG cars, cannot pursue antitrust claims against a group of patent owners, including Qualcomm Inc, which are seeking royalties on telecommunications technology, a federal judge in Texas ruled. Avanci LLC, a licensing pool formed by Qualcomm, Nokia Oyj, Sharp Corp and other owners of patents on technology standards, is not breaching antitrust laws when it negotiates license agreements with automakers rather than the component makers, Barbara Lynn, chief district judge for the Northern District of Texas, said in dismissing the suit in a decision posted on Friday. The licensing group charges US$15 per vehicle
Sony Corp has cut its estimated Play Station 5 (PS5) production for this fiscal year by 4 million units, down to about 11 million, following production issues with its custom-designed system-on-chip (SOC) for the new console, people familiar with the matter said. The Tokyo-based electronics giant in July boosted orders with suppliers in anticipation of heightened demand for gaming in the holiday season and beyond, as people spend more time at home due to the COVID-19 pandemic. However, the company has come up against manufacturing issues, such as production yields as low as 50 percent for its SOC, which have cut into