TSMC has been promised $6.6 billion under the Biden-administration's CHIPS and Science ACT to help build three cutting-edge chip fabrication plants in Arizona. President-elect Donald Trump has accused Taiwan of "stealing" U.S. chip business.
As of Jan. 17, there are 10 public companies in the world with valuations of at least $1 trillion. With the exception of Warren Buffett's investment powerhouse, Berkshire Hathaway, each trillion-dollar stock is playing a leading role in the ongoing artificial intelligence (AI) revolution.
Shares of Taiwan Semiconductor Manufacturing (TSM -1.53%), or TSMC for short, rose after the semiconductor contract manufacturer once again produced strong revenue growth and issued upbeat guidance as it continues to be an artificial intelligence (AI) beneficiary.
Taiwan Semiconductor (TSM -1.53%) management revealed information that has broad implications for stock market investors.
TSM remains a long-term Buy due to its leading N3/ N5 market share and the hyperscalers' promising AI/ data center demand growth over the next few years. The same promising metrics have also been observed in its double beat FQ4'24 performance, strong FQ1'25 guidance, and rich FY2025 capex numbers, signaling a new investment/ growth cycle. Combined with TSM's strategic global expansion and healthy balance sheet position, we believe that it remains well positioned for long-term growth, supported by government subsidies.
Taiwan Semiconductor Manufacturing Company (TSM) produces 90% of the world's supercomputer semiconductor chips, powering top smartphone and AI applications. While TSM's stock has long-term strength, it experiences short-term volatility due to tech sector and geopolitical factors, creating opportunities for risk-tolerant traders.
Taiwan Semiconductor Manufacturing Company Limited reported excellent quarterly earnings, continuing its trend of outperforming Wall Street estimates. TSM benefits from strong demand in the semiconductor space, driven by the Artificial Intelligence trend and key customers like NVIDIA and Apple. The company's financial health is robust, with significant revenue growth, expanding margins, and a substantial net cash position of over $40 billion.
Myron Xie of SemiAnalysis shares his bullish view on TSMC, after the AI chipmaker posted record Q4 profits.
Olivier Blanchard, research director at The Futurum Group, says the incoming Trump administration may use artificial intelligence chip controls as a negotiation tool with China.
Taiwan Semiconductor beats both earnings and revenue estimates on surging demand for advanced chips used in AI applications.
TSMC's Q4 earnings report showcases exceptional growth, driven by booming AI hardware demand and operational excellence, with revenue and earnings surpassing expectations. Geopolitical tensions underpinned by US-China relations and US export controls pose risks, but TSMC's dominance in advanced chip manufacturing and increasingly diversified footprint mitigate these concerns. Margin expansion, strong cash flow, and increased CapEx highlight TSMC's financial strength, with significant growth in gross, operating, and net margins driven by recent price increases.
In today's video, I discuss Taiwan Semiconductor Manufacturing (TSM -0.23%), its business strategy, growth opportunities, potential risks, and why artificial intelligence stock investors should not ignore this massive company.