Chipmaker TSMC is back on the list of the world’s 10 most valuable companies: Here’s why it’s making a comeback

TSMC (British Semiconductor) rides on people’s optimism to rejoin the world’s 10 most valuable companies. AI (artificial intelligence) boom technology industry This pushed its stock to an all-time high.
According to Bloomberg, TSMC’s stock price rose 14% last week, boosting TSMC’s stock price. chip manufacturerIts market value hit a record high, but fell 2% in early trading on Monday (March 11), with its market value falling to $634 billion.
However, this decline did not have a big impact on the company as its market share is still higher than other companies. Broadcomthe report states.
What analysts say
Analysts at Morgan Stanley and J.P. Morgan expect the semiconductor giant to have apple, NVIDIA and Qualcomm as its client—further growing amid surging AI-related revenue and strong pricing power.
“Generative AI semi-finished products are a clear growth driver for TSMC,” Morgan Stanley analysts including Charlie Chen wrote in a report last week. The company’s overseas expansion could also help ease geopolitical concerns, they said.
TSMC’s revenue increased by 9.4% in the first two months of 2024 due to increased demand for high-end chips due to the boom in artificial intelligence.
Nvidia gets “artificial intelligence boost”
This isn’t the first time chip companies have seen their share prices spiral upward this year. Nvidia is one of the companies getting a boost from the frenzy over generative artificial intelligence this year.
Nvidia shares have risen more than 20% in the past month, and more than 90% in the past six months. In addition, over the past year, Nvidia’s stock price has risen from $234.36 per share to $875.28 per share, an increase of 275%.