Xintec (3374) long; TSM subsidiary pursuing CPO; COUPE mass production H2 2026; repricing opportunity
TSM vertical integration via subsidiary; COUPE production ramp; asymmetrical bet on volume flowing to Xintec; architectural shift imminent
Xintec (3374) also looks like an interesting idea (TSMC packaging/test subsidary). MC is at ~ $2.18B. $TSM COUPE mass production starts this half, H2 2026. and... they have plans for "Aggressively pursuing CPO opportunities with subsidiaries Xintec". This is just very high-level, not too much public figures on volumes flowing to Xintec in COUPE. But this is just a asymmetrical guess on $TSM wanting to vertically integrate as much as possible and volume flowing down to their own subidary. Lot of the Taiwan CPO stocks like Foci, MSSCorp, Shunsin (foxconn advanced packaging/test), and co. are gradually being repriced... (disclosure: have exposure to everything above). But generally, architectural shift is going to be pretty sudden, and will show up in their balance sheets soon. Especially $TSM related companies (Xintec looks more compelling than VisEra, at least for this next few months). Foci I've already covered for FAU.
| Horizon | Raw move | vs SPY |
|---|---|---|
| 1 day | +2.8% | +2.6% |
| 1 week | +2.1% | +1.5% |
| 1 month | +8.8% | +7.0% |
| 3 months | — | — |
| 6 months | — | — |