Prediction: Taiwan Semiconductor Manufacturing Will Hit a $3 Trillion Market Cap Before 2027 Is Over
The world's largest chip foundry is bound to benefit as long as heavy AI spending persists.
Overview
Taiwan Semiconductor Manufacturing (NYSE: TSM) is a $2.3 trillion company today, but I think it's destined for a $3 trillion market cap by the end of next year. To meet that target would require the stock to rise by about 30% over the next 15 months. Given that the stock market has averaged annual returns of about 10% over the long term, that would be a solid outperformance, so if I'm right, that would make the stock well worth buying now.
How would Taiwan Semiconductor get there? Simple: It just needs to do exactly what it has told investors it will do.
Image source: Taiwan Semiconductor Manufacturing Company.
Details
Source
Originally published at www.fool.com.
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Disclaimer: This article is for informational purposes only and does not constitute investment advice. Data may be delayed up to 15 minutes. Past performance is not indicative of future results. Consult a licensed financial advisor before making investment decisions.