Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is one of the best major stocks to invest in right now. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) received a rating update from Mizuho Securities on January 5, with the firm reiterating a Buy rating on the stock with a NT$2,000 price target. The same day, Goldman Sachs also lifted the price target on the stock to NT$2,330 from NT$1,720 and maintained a Buy rating on the shares. The firm told investors that Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) boasts a “multi-year growth engine” in AI, and upgraded its 2026 and 2027 earnings estimates by up to 15%.
In a separate development, Reuters reported on January 1 that the US government granted Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) an annual license to import US chip manufacturing equipment to its facilities in Nanjing, China. The company told Reuters in a statement that the approval “ensures uninterrupted fab operations and product deliveries.” It further stated in a statement that:
“The U.S. Department of Commerce has granted TSMC Nanjing an annual export license that allows U.S. export-controlled items to be supplied to TSMC Nanjing without the need for individual vendor licenses.”
SK Hynix and South Korea’s Samsung Electronics also received similar import licences, according to Reuters.
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is the largest contract semiconductor manufacturer in the world. Some of its prominent customers include semiconductor companies that outsource all or part of their chip production, including Advanced Micro Devices, Nvidia, Broadcom, and more.
While we acknowledge the potential of TSM as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
