33 Most Important AI Companies You Should Pay Attention To

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

Number of Hedge Fund Holders: 135  

YTD Return as of August 1: 86%

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) makes and sells integrated circuits and semiconductors. The company dominates the semiconductor manufacturing industry, controlling 90% of the market for leading process nodes. These nodes underpin the success of companies like NVIDIA and Broadcom who rely on the technical and manufacturing expertise of TSM for their AI chip success. The rapid integration of AI into computers and smartphones is likely to bolster the dominant position of the firm in the AI world. This position has increased the pricing power of TSM, and the new N2 node marketed by the firm, designed to be faster while requiring less power, will be close to 20% higher in price than the predecessor.

CC Wei, the CEO of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM), said during the second quarter earnings call that the foundry business was likely to grow globally by 10% year-on-year in 2024. The CEO detailed that strong AI and high-end smartphone-related demand would fuel further upside for his company in the coming months.

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