Is Taiwan Semiconductor Manufacturing Stock a Buy on Strong AI Demand?

With a virtual monopoly on the production of advanced logic chips, Taiwan Semiconductor Manufacturing (NYSE: TSM) is at the heart of the artificial intelligence (AI) infrastructure boom. TSMC, as it is also known, just reported strong Q1 results, although it wasn't enough to give its already strong stock price a lift. However, with the stock trading at a forward P/E of around 24 times this year's earnings, now may be a good time to buy shares.TSMC continued to benefit from the demand for the AI chips it specializes in producing. Management said, given the demand it was seeing, that its capital expenditure (capex) spending would be at the high end of its prior $52 billion and $56 billion guidance range, with a focus on expanding its 3-nm technology capacity.Image source: The Motley Fool.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool