Taiwan Stock Market Pre-Market News: Foreign Investors' Third-Largest Buy, Stock and Currency Rise, Hon Hai Monthly Revenue Nears Trillion, Nanya Technology Increases Capex

August 6 Taiwan Stock Market Press Release

1. On August 5, the Taiwan stock market closed at 44,611.6 points, up 1,250.94 points (2.88%), with trading volume expanding to 1.14 trillion TWD, surpassing the trillion threshold again. The index broke through both the monthly and quarterly moving averages. The three major institutional investors collectively bought 100.406 billion TWD, with foreign investors leading the charge with a net purchase of 90.308 billion TWD—the third-largest buy in history. Foreign investors heavily bought 117,000 units of 00631L Yuanta Taiwan 50 Bull 2, and primarily purchased shares in KGI Fund (39,000 units), Hon Hai (36,000 units), Wistron (35,000 units), and Lite-On Technology (29,000 units).

2. The U.S. and Iran may soon reach an agreement to reopen the Strait of Hormuz, causing international oil prices to plummet. This triggered a further inflow of hot money into Asia. On August 5, both Taiwan's stock and foreign exchange markets rose. The New Taiwan Dollar (NTD) strengthened by up to 1.7 cents against the U.S. dollar, closing at 32.315, up 1.32 cents. The total trading value in Taipei and Yuan Ta foreign exchange markets reached 2.8395 billion USD.

3. Hon Hai (2317-TW) announced on August 5 its July revenue reached 946.512 billion TWD, a record high for a single month, making it the first company in the Taiwan stock market approaching 1 trillion TWD in monthly revenue. This represents a 15.18% increase month-on-month and a 54.19% increase year-on-year. Cumulative revenue for the first seven months reached 5.59 trillion TWD, also a record high for the period, up 37.89% year-on-year.

4. Nanya Technology (2408-TW) held a board meeting on August 5 and passed a key resolution to increase its capital expenditure for the year from the originally planned 52 billion TWD to a maximum of 69.7 billion TWD. The additional budget will primarily be used to pay advance installments for equipment required to set up capacity at its new 5A plant.

5. Megachips (5274-TW), known as the 'stock king,' announced its Q2 financial results on August 5. The company posted a quarterly after-tax net profit of 1.841 billion TWD, up 30.2% quarter-on-quarter and 188.4% year-on-year, setting a new quarterly record. Earnings per share (EPS) reached 40.87 TWD. Cumulative after-tax net profit for the first half of the year was 3.255 billion TWD, up 114.71% year-on-year, with EPS at 78.28 TWD. Benefiting from the rapid deployment phase of AI servers, Megachips earned more in the first half of this year than it did in the first three quarters of last year.

6. Joseph Kuo, CEO of Shihden (1503-TW), stated on August 5 that global demand for the AIDC (AI Data Center) supply chain remains very strong, with tech companies actively expanding capacity. He believes demand will remain robust for the next five years. Additionally, due to strong demand, transformers are experiencing a shortage. However, Kuo noted that Shihden secured advance procurement, so delivery schedules remain unaffected.

<Taiwan Stock Market After-Hours> TSMC closed at 2,405 TWD, surging 1,250 points, reclaiming the monthly, quarterly, and 44,000-point levels at once.

Foreign investors rapidly turned bullish, posting the third-largest net buy in history at 90.3 billion TWD, aggressively purchasing over 110,000 units of Yuanta Taiwan 50 Bull 2.

<TWD> Hot money inflow drove both stock and currency gains. The NTD strengthened 1.32 cents to close at 32.315.

Taiwan Printed Circuit Board Association (TPCA) reported July revenue of 19.207 billion TWD, another record high, up 129% year-on-year.

Largan Precision reported July revenue of 4.877 billion TWD, up 31.38% month-on-month. Inventory restocking momentum is expected to increase further this month.

30 Taiwan ETFs will distribute dividends in August, with three offering annualized dividend yields exceeding 18%.

22 overseas ETFs hit new price highs, with 00757 surging 12% in the past week, the strongest performer.

Shihden CEO Joseph Kuo on global AIDC trends: demand will remain stable for the next five years.

Megachips Q2 profit reached four times its par value, a record high; July revenue also set a new record.

Nanya Technology raised its annual capex to 69.7 billion TWD; capex ceiling over the next four years is 346.6 billion TWD.

Hon Hai's July revenue hit 946.5 billion TWD, up 15%, nearing the trillion TWD mark—the highest monthly revenue on record.