Taiwan Semiconductor Manufacturing Company Limited (TSM) Rebounded Strongly in Q3

Core Insights - Hardman Johnston Global Advisors reported that its "Global Equity Strategy" portfolio underperformed in Q3 2025, returning 5.02% net of fees compared to 7.62% for the MSCI AC World Net Index [1] Company Performance - Taiwan Semiconductor Manufacturing Company Limited (TSM) had a one-month return of 5.27% and a 52-week gain of 51.13%, closing at $302.84 per share with a market capitalization of $1.571 trillion on December 26, 2025 [2] - TSMC was highlighted as a top contributor to relative performance in Q3 2025, alongside Prosus N.V. and Commerzbank AG [3] - TSMC raised its full-year 2025 revenue guidance by approximately 5 percentage points to 30% growth, with its High Performance Computing segment accounting for 60% of total sales [3] - TSMC's revenue increased by 6% sequentially in NT in Q3 2025, and it remains a key player in AI infrastructure across various ecosystems [4] Investment Sentiment - TSMC is ranked 9th among the 30 most popular stocks among hedge funds, with 194 hedge fund portfolios holding TSMC at the end of Q3 2025, up from 187 in the previous quarter [4] - Despite TSMC's strong performance, there is a belief that certain AI stocks may offer greater upside potential and carry less downside risk [4]