Taiwan Semiconductor Manufacturing Company Limited (TSM) Stock

CrowdStrike is a leading provider of cybersecurity software. By aiming to offer a wide range of cybersecurity solutions, CrowdStrike has developed strong connections with its customers. In the third quarter of fiscal year 2025, which ended on October 31, 66% of its clients were using at least five of its products.

Artificial intelligence (AI) has opened up significant possibilities for tech companies, allowing them to develop new products and services. According to Goldman Sachs, businesses are expected to invest $1 trillion in generative AI in the coming years to stay competitive. Broadcom (NASDAQ: AVGO) is a key player in the AI sector, as its application-specific integrated circuits (ASICs) are widely used in AI data center infrastructure.

TSMC (TSM) has been getting a lot of interest from users on Zacks.com recently. It's important to stay informed about the factors that could affect the stock's future.

Roosevelt Bowman, a Senior Investment Strategist at Bernstein Private Wealth Management, talks about the future of AI as we approach 2025. He believes the AI industry will grow beyond just semiconductors and cloud computing, moving into areas like power infrastructure and cooling technologies. While he sees new market opportunities, he warns against being overly optimistic and suggests that investors should take a cautious approach, particularly in sectors like healthcare and consumer staples.

Taiwan is a key area of geopolitical tension, especially between China and the U.S., which impacts the market for Taiwan Semiconductor and possible tariffs from the Trump administration. Taiwan Semiconductor is a major chip producer essential for U.S. electronics, and its stock prices hit all-time highs in 2024 because of the increasing demand for semiconductors. The Direxion Daily TSM Bull 2X Shares ETF boosts TSM's profits, providing high returns, but it needs careful timing and price management because of its leverage.

In the past two years, artificial intelligence (AI) has led to significant stock increases, beginning with the introduction of OpenAI's ChatGPT. Investors are familiar with success stories like Nvidia and Palantir Technologies, which were quick to take advantage of this trend. However, there are probably many more companies that will benefit from this new technology.

Investors in Nvidia (NASDAQ: NVDA) have had an amazing two years, with the company's shares more than doubling in both 2023 and 2024, and increasing by 860% since early last year due to the impact of artificial intelligence (AI) on its revenue and profits. In December 2023, I talked about why Nvidia's shares might double again in 2024. In this article, I will explore the factors that could drive Nvidia's growth in 2025 and explain why this successful chipmaker might see its value double once more in the upcoming year.

Although a company's previous performance doesn't ensure its future success, history is one of the few reliable tools we have for making predictions. This is especially true for cyclical companies, as their past trends can often provide a good idea of what might happen next.

The stock of Taiwan Semiconductor Manufacturing has increased by 82% this year.