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Taiwan Semiconductor Manufacturing Co. (NYSE:TSM) just dropped a monster quarter, smashing records with a 57% profit surge to $11.4 billion and a 39% revenue spike to $26.88 billion. The world's top chipmaker, fueling giants like Apple and Nvidia, credited red-hot demand for its cutting-edge 3nm and 5nm chips. While U.S. restrictions on AI chip exports to China loom, CEO C.C. Wei isn't sweating ithe says Taiwan Semiconductor has frank and open communication with both the current and incoming U.S. administrations and is confident that special permits will be granted where needed.
The momentum isn't slowing. Taiwan Semiconductor expects Q1 revenue to land between $25 billion and $25.8 billion, with AI-driven demand offsetting the usual smartphone slump. For 2025, the company is eyeing 2030% revenue growth and is throwing up to $42 billion into expansion. It's scaling up globally, with new fabs in the U.S., Japan, Germany, and Taiwan to cement its dominance in the semiconductor supply chain.
Its stock is on firesoaring over 100% in the past twelve months, leaving Taiwan's broader market in the dust. With AI fueling an insatiable appetite for high-performance chips, Taiwan Semiconductor is sitting in the driver's seat of the industry's biggest growth wave. The AI boom isn't slowing down, and neither is Taiwan Semiconductor.
This article first appeared on GuruFocus.