Taiwan Semiconductor Manufacturing Company (TSMC) has regained its place in the list of the 10 most valuable companies in the world, based on optimism. artificial intelligence (AI) in boom technological industry that pushed its stock to record highs.
According to a Bloomberg report, TSMC’s stock rose 14% last week, rising wood chipper‘s market capitalization was at a record high, before falling 2% in early trading on Monday (March 11), to $634 billion.
However, the decline did not affect the company much, as it still has a larger market share Broadcomthe report stated.
What the analysts have to say
Analysts at Morgan Stanley and JPMorgan Chase & Co. expect the semiconductor giant the apple, Nvidia and Qualcomm as its customers – to further progress amid AI-related revenue and powerful pricing power.
“The Generative AI half is an obvious growth engine for TSMC,” Morgan Stanley analysts, including Charlie Chan, wrote in a note last week. The company’s overseas expansion also helps ease geopolitical concerns, they said.
TSMC’s revenue rose 9.4% in the first two months of 2024 as demand for high-end chips surged on a wave of AI activity.
Nvidia gets “AI boost”.
It’s not the first time this year that a chip company has seen its stock on an upward spiral. This year, Nvidia was among the companies that got a boost from the AI creation frenzy.
In the past month, Nvidia’s stock price has risen more than 20%, and in the past six months, more than 90%. Moreover, in the last year, Nvidia stock price has appreciated from $234.36 per share level to $875.28 per share mark – registering a jump of 275%.
