20 AI News and Analyst Ratings You Should Not Miss

12. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)

Number of Hedge Fund Holders: 156  

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) makes and sells integrated circuits and semiconductors. Latest reports indicate that ByteDance, the parent firm of social media giant TikTok, has set up a deal with TSM to mass produce two AI chips. These chips, designed jointly by both firms, could hit production within the next two years. The production of the chips is aimed at reducing the reliance of the Chinese internet technology company on American chipmaker NVIDIA. The latter currently provides chips to ByteDance for developing and operating AI models.

JPMorgan recently raised the price target on Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) stock to NT$1,200 from NT$1,080 and kept an Overweight rating on the shares. In a research note, the analyst at the advisory noted that TSMC was now firmly on course to improving margins in the next few years. The note further detailed that together with continued strong demand for artificial intelligence accelerators and a leading market position, the advisory expected strong earnings growth for the chipmaker in the next few years.