Core Viewpoint - The $1 trillion stock club is shrinking due to market sell-offs, with only eight companies currently holding this valuation, but Taiwan Semiconductor and Broadcom are poised to rejoin soon if the market recovers [1][2]. Group 1: Company Valuations - Taiwan Semiconductor is currently valued at approximately $770 billion, while Broadcom is valued at around $800 billion, indicating a 25% increase is needed for both to reach the $1 trillion mark [3]. - Both companies are expected to return to the $1 trillion valuation club within the next year or two [2][6]. Group 2: Taiwan Semiconductor (TSMC) - TSMC is the largest chip foundry globally, producing chips for major clients like Nvidia, Apple, and Broadcom, which allows it to maintain a neutral position in the market [4]. - TSMC is advancing its technology with the introduction of 2 nm and 1.6 nm chips, following its current 3 nm technology, which enhances its competitive edge [5]. - The CEO of TSMC expressed confidence in achieving a revenue increase of nearly mid-20s percent in U.S. dollar terms for the full year 2025, despite potential tariff uncertainties [5][6]. Group 3: Broadcom - Broadcom is developing custom AI accelerators, known as XPUs, which are alternatives to Nvidia's GPUs, targeting specific workloads and potentially capturing market share from Nvidia [7][8]. - The addressable market for Broadcom's XPUs is projected to be between $60 billion and $90 billion by 2027, with significant growth expected as new clients adopt these products [9]. - Broadcom's trailing 12-month revenue stands at $54.5 billion, and growth from the XPU segment could significantly enhance its overall revenue [9]. Group 4: Investment Opportunities - Both TSMC and Broadcom are currently viewed as attractive investment opportunities due to their lower forward price-to-earnings ratios compared to recent months [11]. - Despite Broadcom having a slightly higher premium, both companies are considered to offer great value for investors looking for long-term returns [13].

Currently, just eight vaunted stocks boast market capitalizations of over $1 trillion. This includes six of the Magnificent Seven stocks, as well as Warren Buffett's Berkshire Hathaway NYSE: BRK.A. The only non-U.S. stock among these eight is the Saudi Arabian Oil Company, also known as Saudi Aramco. Although technically publicly traded, in practice, the vast majority of investors cannot buy shares directly. Three other big-name U.S. stocks, in particular, have found themselves flirting with the $1 trillion ...