BING-JHEN HONG Investment Thesis I rate Taiwan Semiconductor Manufacturing Company (NYSE:TSM) as a buy due to its cutting-edge technological advancement, a solid market position supported by profitable strategic partnerships, and a dynamic client portfolio. TSM has led global semiconductor manufacturing, which explains its impressive solid fundamentals and good financials. It is the world's largest semiconductor foundry and has consistently developed new chip technology. The rise of generative artificia ...

Nvidia's valuation is keeping the stock from delivering more upside despite its outstanding growth, but there is a solid alternative for investors to consider.There is no denying that Nvidia (NVDA -0.03%) has been one of the top semiconductor stocks on the market in 2024, with stunning gains of 118% as of this writing. However, the recent stock price action indicates that investor confidence in this high-flying company is now wavering.The past two-and-a-half months have been quite volatile for Nvidia invest ...

BING-JHEN HONG The biggest challenge to Artificial Intelligence or AI today is the inability of many organizations to estimate the returns on their AI investments. I believe that’s a temporary phase that was born of the rapid scaling up of AI infrastructure by cloud service providers like Amazon’s AWS (AMZN), Microsoft Corp (MSFT), et al, as well as super-premium smartphone incumbents like Apple Inc. (AAPL) and their respective pushes into the realm of artificial intelligence. The rest of the enterprise ...

TSMC (TSM) closed the latest trading day at $162.43, indicating a -0.22% change from the previous session's end. This change lagged the S&P 500's 0.45% gain on the day. Elsewhere, the Dow saw a downswing of 0.23%, while the tech-heavy Nasdaq appreciated by 0.84%.Heading into today, shares of the chip company had lost 2.89% over the past month, lagging the Computer and Technology sector's loss of 0.98% and the S&P 500's gain of 2.54% in that time.The investment community will be closely monitoring the perfor ...

Shares of TSMC pulled back after growth slowed in August.Shares of Taiwan Semiconductor (TSM -2.23%) were moving lower today after the chip manufacturing giant posted slowing revenue growth in its August update.Though its growth rate was still strong, it marked a deceleration from July, and that news was enough to push the stock lower.As of 10:46 a.m. ET, the stock was down 2.6%. TSMC hits the brakesTaiwan Semiconductor has been one of the biggest beneficiaries of the artificial intelligence (AI) boom thus ...

The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price. Do they really matter, though?Let's take a look at what these Wall Street heavyweights have to say about TSMC (TSM) before we discuss the reliability of brokerage recommendations and how to use them to your advantage.TSMC currently has an average brokerag ...

Core Viewpoint - Taiwan Semiconductor (TSMC) is positioned as a critical player in the global semiconductor industry, particularly in the context of AI technology proliferation, with its stock currently down approximately 10% from all-time highs, presenting a potential buying opportunity [1]. Group 1: Technology Leadership - TSMC is recognized as a leader in chip production, benefiting from its neutral manufacturing position, which allows it to capitalize on the overall advancement in technology [2]. - The company is one of the few capable of producing 3nm chips, which are among the most advanced in the market, allowing for greater transistor density and enhanced performance [2]. Group 2: Future Developments - TSMC is developing its next-generation 2nm chips, expected to enter production in 2025, with pre-production demand already exceeding that of its 3nm and 5nm chips [3]. - The 2nm chips are projected to consume 25% to 30% less power than previous generations when configured for the same processing power, addressing significant cost concerns in AI model training [3]. Group 3: Growth Projections - Management anticipates a revenue growth rate of 15% to 20% CAGR over the next several years, driven largely by the increasing demand for AI computing power, which is expected to grow at a 50% CAGR through 2028 [4]. - By 2028, AI-related revenue is projected to account for over 20% of TSMC's total revenue, indicating substantial growth potential [4]. Group 4: Valuation and Investment Outlook - Using a decade-long average P/E ratio of 20, TSMC's stock could have a 14% upside from current levels, but this is considered less attractive given the time frame to return to previous highs [5]. - If revenue growth is adjusted to 20% and the ending P/E ratio to 24, the potential upside increases to 63%, suggesting a CAGR for the stock price of 13%, which would outperform the market's long-term average [6].

JohnnyGreig Introduction The recent volatility in the semiconductor sector is a blessing for people like me who are looking to add one of the most important companies in the industry to their portfolios and maybe thought it may have been too late, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM). I will go through some of the biggest catalysts that will help the company reach its potential in the next few years, as I believe the company is still flying under the radar of many investors and is u ...

Shares of TSMC (TSM) have gained 3.3% over the past four weeks to close the last trading session at $160.49, but there could still be a solid upside left in the stock if short-term price targets of Wall Street analysts are any indication. Going by the price targets, the mean estimate of $204.71 indicates a potential upside of 27.6%.The mean estimate comprises seven short-term price targets with a standard deviation of $28.26. While the lowest estimate of $170 indicates a 5.9% increase from the current price ...

A broader sell-off in the chip sector weighed on TSMC.Shares of Taiwan Semiconductor Manufacturing (TSM -5.81%) were falling today as bearish momentum in the broader semiconductor sector seemed to weigh on the stock. There was also a news item out of Japan that brought up a familiar bogeyman for TSMC.As of 12:18 p.m. ET, the stock was trading 5.8%, while the Nasdaq Composite had lost 2.3%, indicating a broader pullback in the market. Chip stocks are still volatileChip stocks like Taiwan Semi tend to go wher ...