[Jan 15, 2026] US Pre-market: TSMC’s AI Confidence & Amazon’s Copper Strategy

Securing Critical Materials: Amazon has signed a two-year copper supply agreement with a Rio Tinto-operated mine in Arizona. This mine is a new U.S. copper source, operational for the first time in 10 years. The copper will be used for cabling and power equipment essential for constructing AI data centers.
Strategic Foresight: With copper demand surging for AI data centers, power grids, EVs, and green energy, and supply remains tight (prices exceeding $6/lb), Amazon is proactively securing supply to mitigate future shortages. Some forecasts suggest AI could drive a 50% increase in copper demand by 2040.
ESG Focus: The mine uses a new extraction process that reduces water usage and carbon emissions, even from low-grade ore, lowering Amazon's ESG burden.

AI Boom Validated: TSMC reported a "surprise" Q4 result, beating expectations on the back of explosive AI chip demand.
Massive Capex: The company set its 2026 Capital Expenditure (CAPEX) guidance at $52 billion to $56 billion, significantly higher than the market estimate of $48 billion to $50 billion, proving that the AI era is still in high gear.

EUV Demand Boost: Expectations for increased EUV (Extreme Ultraviolet) lithography equipment orders have risen as TSMC accelerates its 3nm process expansion and construction of its Arizona facility.

Record-Breaking Performance: Pre-market earnings showed Q4 EPS of $13.16 (vs. $12.44 est) and revenue of $7.01 billion (vs. $6.75B est).
Massive AUM: Driven by market strength and capital inflows, Assets Under Management (AUM) hit a record high, surpassing $14 trillion.

Earnings Turnaround: Ahead of its Feb 12 earnings, the market expects EPS to turn profitable at $0.09 (vs. a $0.28 loss in the previous quarter) on revenue of $1.94 billion.
Analyst Upgrade: Wells Fargo upgraded the stock from Equal Weight to Overweight and hiked the price target from $31 to $49, citing confidence in margin expansion.

Premium Price Hike: Announced a $1 increase for its Premium service in the U.S. and select Baltic markets (Estonia, Latvia), raising the monthly fee from $11.99 to $12.99.
Rationale: The hike, effective from February billing cycles, is intended to reflect the value of the service and provide more benefits to artists.

Creator Economy Play: The company, known for having the largest Ethereum holdings among listed firms, invested $200 million in "Beast Industries," founded by world-renowned YouTuber MrBeast.
DeFi Integration: Beast Industries plans to integrate Decentralized Finance (DeFi) into its upcoming financial services platform, targeting Gen Z and Alpha generations with banking and crypto services.

Upgrade: Barclays upgraded Dell to Overweight (keeping the $148 target).
AI Catalyst: Analysts are encouraged by stronger-than-expected AI server orders. While gross margins remain under pressure, operating margins have shown resilience due to disciplined cost management and enterprise storage opportunities.

Full Rebranding: Hershey is launching its first major global campaign in eight years, increasing its ad budget by 20%.
Market Expansion: The strategy aims to move beyond holiday-centric sales (Halloween/Valentine’s) to a year-round presence, targeting adults without children.
Headwinds: The company faces rising cocoa prices and up to $170 million in potential tariff costs this year.

Downgrade: UBS downgraded the stock to Sell, setting a target of $77.
Valuation Concerns: UBS argues that the best-case scenario is already priced in. They warned of competition risks from Chinese medical device makers and noted that the stock has surged 45% since April 2025, reaching all-time highs.

■ Nokia (NOK): Morgan Stanley upgraded the stock to Overweight, citing AI-driven network demand.
■ Morgan Stanley (MS): Q4 revenue and EPS both beat consensus.
■ Goldman Sachs (GS): Q4 EPS met consensus, but revenue missed market expectations.
■ Rocket Lab (RKLB): KeyBanc downgraded the stock to Sector Weight, noting that growth catalysts have already materialized and are priced in.
■ Broadcom (AVGO): Cathie Wood’s ARK Invest purchased 143,089 additional shares (approx. $50.74 million), signaling high conviction in custom AI chips and data center networking demand.

In be stock