Jim Cramer’s Bold Predictions About These 15 AI Stocks

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

Number of Hedge Fund Holders In Q3 2024: 158

Date of Cramer’s Comments: 08-12-24

Performance Since Then: 20.28%

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is the world’s largest contract chip manufacturer. The firm’s 3-nanometer chip manufacturing technology is the most advanced in the industry, and it has allowed it to establish a deep partnership with Apple. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) also makes NVIDIA’s AI GPUs, along with GPUs and CPUs for AMD and other firms. As a result, it enjoys a wide moat in the industry which is unlikely to be challenged in the near future due to the extensive capital expenditure and resources required to establish modern-day chip manufacturing facility. A key risk for the firm is conflict in Taiwan, and here’s what Cramer had to say when asked what he thought about Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) being a long-term buy:

“I think you’re fine. I think that there’s always going to be a worry about Taiwan. I think that if you go back to what Lisa Su said, she didn’t tell you not to worry about it because nobody says that. She says, you know, this one is not going to be a problem, and I’m with her.”