Taiwan Semiconductor Manufacturing Co. (TSM) is Benefiting from Strong Underlying Business Growth

In its fourth-quarter 2025 capitalist letter, Sequoia Strategy highlighted Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) arsenic a notable contributor. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is the world’s starring shaper of integrated circuits and different semiconductor devices. On March 27, 2026, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) closed astatine $326.74 per share. One-month instrumentality of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) was -11.48%, and its shares gained 96.83% implicit the past 52 weeks. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) has a marketplace capitalization of $1.695 trillion.

Sequoia Strategy stated the pursuing regarding Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) successful its 4th fourth 2025 capitalist letter:

"ADR shares of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) returned 56% successful 2025. As banal marketplace participants, we are nary strangers to outsized movements successful stock prices. As concern analysts, however, it is not often we spot a institution of TSMC’s size and maturity turn revenues by 36% and profits by 51%. Put different way, TSMC’s trailing earnings-per-share aggregate lone expanded by 2% successful 2025, with the remainder of the stock terms gains driven purely by underlying concern growth.

The maturation operator was – surprise, astonishment – AI. The red-hot datacenter buildout and the resulting surge successful request for AI chips saw TSMC’s AI spot income astir treble past year. Whether the hundreds of billions of dollars successful datacenter walk tin prolong is anyone’s guess. For our part, we are not accustomed to projecting venture-capital similar levels of maturation with numbers that extremity successful “trillion.” We are successful uncharted territory..." (Click present to work the afloat text)

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