ASUS Stock Price Holds Steady as Safe Haven Amidst Market Plunge
Translated from Chinese, summarized and contextualized by DistantNews.
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- Taiwan's stock market experienced a significant downturn, with over 120 companies, including Yageo and Nanya Technology, hitting their lower limit, and the index falling over 1600 points.
- In contrast, older AI concept stocks like ASUS have become a safe haven for investors, with ASUS's stock price rising due to its entry into the AI server market and increased revenue.
- ASUS reported record-breaking consolidated revenue for June and the second quarter, driven by growth in both AI servers and PC businesses, with an upward revision of its AI server revenue growth target.
Taiwan's stock market plunged, with the index dropping over 1600 points and more than 120 companies, including Yageo and Nanya Technology, hitting their lower trading limits. This broad market sell-off has increased the risk of margin calls for investors.
ASUS's stock price is resilient, becoming a safe haven for funds.
Amidst the market turmoil, older AI concept stocks have emerged as a safe haven. ASUS, in particular, has seen its stock price rise as it expands into the AI server sector. The company is part of the first batch of suppliers for the new generation AI server, Vera Rubin. ASUS had previously raised its AI server revenue growth target for the year from 50-100% to over 100% during its May earnings call.
ASUS's stock price is resilient, becoming a safe haven for funds.
ASUS's stock price showed resilience, trading at 753 New Taiwan dollars, up 2.45%, with a trading volume of over 3300 shares as of 10:35 AM. This stability is attributed to its strong performance in both AI servers and PC businesses. The company's consolidated revenue in June surged to NT$106.723 billion, surpassing the NT$100 billion mark for the first time, a 54.46% increase month-on-month and a 55.63% increase year-on-year. The second quarter also saw record-high consolidated revenue, with the first half of the year reaching NT$466.102 billion, a 38.85% increase year-on-year.
ASUS's stock price is resilient, becoming a safe haven for funds.
ASUS attributes its strong performance to brand value, optimized product mix, and effective supply chain management. The company stated that it has converted market volatility into growth momentum, demonstrating operational performance and resilience that surpasses the industry average. Both group and brand revenues hit historical highs in June and the second quarter, driven by synchronized growth in AI servers and PC businesses.
ASUS's stock price is resilient, becoming a safe haven for funds.
DistantNews Editorial
Originally published by Liberty Times in Chinese. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.
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