Shares rose yesterday, led by liquid-crystal-display (LCD) companies, after AU Optronics Corp (
The construction sector outperformed the broader market following a report that the government is planning to remove building restrictions as part of a package of incentives for the industry, dealers said.
The TAIEX gained 41.36 points, or 0.7 percent, at 6,140.14.
AU Optronics said Monday its revenue last month was NT$20.14 billion (US$619.52 million), up from NT$11.19 billion in August last year.
Its stock rose 1.5 percent to NT$50.20, while Chi Mei Optoelectronics Corp (奇美電子) ended up 2.8 percent at NT$41.75.
"AU Optronics' strong August revenue refocused attention on the LCD sector," said Solomon Chang, a Yuanta Core Pacific Securities Corp (
"There are signs foreign institutional investors are buying the stock on expectations growing demand for LCD panels will boost share prices in the near-term," Chang said.
Smaller LCD firms also rose after Credit Suisse First Boston last week recommended investors buy second-tier flat-panel stocks, including Quanta Display Inc (廣輝電子), Chunghwa Picture Tubes Ltd (中華映管) and HannStar Display Corp (瀚宇彩晶).
Quanta Display was the most traded stock in yesterday's session. The share rose 2.5 percent to NT$12.30, while Chunghwa Picture Tubes gained 0.5 percent to NT$10.50 and HannStar added 1.2 percent to NT$8.60.
Cathay Real Estate Development (
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Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday reported that revenue last month expanded 25 percent annually, but fell 12.8 percent month-on-month to NT$105.96 billion (US$3.59 billion). In the first seven months of this year, the chipmaker’s revenue surged 33.6 percent to NT$727.26 billion, compared with NT$544.46 billion a year earlier. TSMC has said it aims to grow its revenue by more than 20 percent this year. The company has since May 15 stopped taking new orders from Huawei Technologies Co (華為), its second-biggest customer after Apple Inc, due to the US’ restrictions on exports containing US technologies. TSMC has no plans to