Billionaire Steve Cohen’s 10 Large-Cap Stock Picks With Huge Upside Potential

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

Market Cap as of April 24: $679.95 Billion

Point72 Asset Management’s Equity Stake: $492.72 Million

Analysts’ Upside Potential as of April 24: 39.05%

Number of Hedge Fund Holders: 186

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is the world’s largest semiconductor foundry, focusing on chip manufacturing for other companies. Its products are used in a wide variety of applications, including high-performance computing, smartphones, the Internet of Things (IoT), automotive, and digital consumer electronics. While the stock has pulled back significantly, Barclays maintains an Overweight rating, having cut the price target to $215 from $255, concerned by a slowdown in the chip industry.

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) delivered solid first-quarter 2025 results ahead of new US tariffs that have significantly affected the chip industry. Its profit jumped 60% to NT$361.56 billion or $11.16 billion, beating consensus estimates of NT$351.65 billion. Revenue was also up 42% to NT$839.25 billion.

The better-than-expected results come from Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) cashing in on the growing demand for artificial intelligence technology. While the company faces the risk of being hit by 100% tax if it does not shift more US production, it has reiterated its full-year outlook. It expects revenue growth to be in the mid-20% range of continued AI development. The company expects its business in 2025 to be supported by strong growth in its 3-nanometer and 5-nanometer technologies.