NYSE:TSM
Taiwan Semiconductor MFG. (TSM)
424.37
+5.86 (1.40%)
as of Oct 26, 2026, 8:00:00 pm Market Closed.
413 watching
Financials 
Technical Analysis 0
BUY
TSM vs. NVDA Don't forget Micron. Semi ecosystem has 4 parts. NVDA is poster child for designers. TSM poster child for foundries. Capital intensive. Third part is manufacturing. Micron is a designer and manufacturer. Fourth part is the equipment suppliers like KLA, LRCX, ASML. TSM price target of $144.50. NVDA is expensive, price target coming up soon of $329.25. AMAT would be his favourite. See his Top Picks.
electricalelectronic
BUY
Geopolitical risk? Geopolitical is clearly a risk, but he likes to think cooler heads will prevail. Hasn't participated in the recent rally as much, but it's only a matter of time. A great company. One of his favourite ways to play the space for foundries. Likes AMD for CPUs, NVDA for GPUs, ASML and AMAT for semi manufacturing equipment.
electricalelectronic
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Premium contentTOP PICK
Stockchase Research Editor: Michael O'Reilly With the demand for semi-conductors on a tear, along with growth in cloud based services, and the move towards 5G, we reiterate TSM as a TOP PICK. The company is the world's largest semi-conductor manufacturer with a market share of 54%. Recently reported EPS grew by 50% over the year and is expected to continue growing over 15% annually over the next five years. It pays a reasonable dividend, backed by a payout ratio under 50% of cash flow. We continue to recommend a stop loss at $105, now looking to achieve $144 -- upside potential over 25%. Yield 1.36% (Analysts’ price target is $143.79)
electricalelectronic
TOP PICK
Beat top and bottom lines last week. Free cashflow likely to remain under pressure, as they're spending so much on capex. Should bear fruit by 2024. Value will be unlocked over 3-4 years. Buy in thirds at $116, 105, and 95. 12-month target of $145. Yield is 1.69%. (Analysts’ price target is $150.26)
Kim BoltonOwned
electricalelectronic
BUY ON WEAKNESS
They produce chips for other companies, like a foundry. He prefers this in the chip space vs. the pure plays, like Intel or Nvidia. )The current chip shortage was only partly caused by the pandemic.) The trouble with this sector is that you don't know who's on the cutting edge. It used to be Nvidia, but who will be the winner going forward? TSM is less risky because it makes chips for several companies, again like a foundry. They all have pricing power now, given the shortage. TSM's valuation is high, though cash flows are strong and they are reinvesting a lot. The chipmakers have momentum.
electricalelectronic
WEAK BUY
Started to consolidate after a tremendous run. A dynamite company, but technically has been in a range for 4 months. Key support is around $107. Buy it today with that stop, as a great long-term hold. Semis are today's copper, and this a great way to play. Geopolitical risk, as may see a challenge to its independence from China over the next few months.
electricalelectronic
TOP PICK
It is the leading foundry in the world. He would rather buy this and sell INTL-Q. They are spending a lot in CAP-X over the next little while. They have technological leadership. They provide good exposure to automotive semiconductors. (Analysts’ price target is $144.82)
Shane ObataOwned
electricalelectronic
BUY
Largest outsource manufacturer in the world. TSMC has much better growth than Intel.
Lorne SteinbergOwned
electricalelectronic
BUY
They report Thursday. They could tell if microchip prices have peaked. He is concerned in the background about China-Taiwan political relations and whether China would get its hands on this company which produces a lot of computer chips for America. He thinks TSM has more room to grow.
electricalelectronic
TOP PICK
Not a day goes by where we don't hear about chip shortages. The business used to be more competitive. They are incredibly well positioned. Margins should pick up. (Analysts’ price target is $143.96)
Lorne SteinbergOwned
electricalelectronic
WAIT
A fabrication company for other companies. A leader. Way ahead in technology. Has become a political issue. US is pushing for a lot of fabrication to be done in the US, so TSM is opening up US plants. Capex will be large over the next 6-8 months, so you'll get a chance to buy lower in the next month or so. Has compounded at 15-20% for a long time.
electricalelectronic
SELL ON STRENGTH
Global best of breed. Great company but thinks the valuation is too high at these levels. Supply chain disruptions and natural disasters have elevated prices for semi conductors. If you own it, sell it or trim it. Because of the supply disruptions, there could be significant correction in the semi space.
electricalelectronic
TOP PICK
World's largest foundry. Can maintain market dominance. Continues to invest in technology. More scope to grow, especially as it can capture growth in the AI market, once the smartphone market starts to dwindle. Yield is 1.50%. (Analysts’ price target is $141.32)
Shane ObataOwned
electricalelectronic
Premium contentPAST TOP PICK
(A Top Pick Jul 28/20, Up 51%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with TSM is progressing well. We are now recommending to trail up the stop (from $86) to $105. If triggered, this would all but insure a total investment return over 37%, including the previous recommendation to cover 50% of the position,
electricalelectronic
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