Nightview Capital, an investment management company that concentrates exclusively on publicly traded equity strategies released its fourth quarter 2024 investor letter. A copy of the letter can be downloaded here. This letter highlights five transformative trends that the firm is observing for 2025 and beyond, along with a review of key companies in the portfolio and how the portfolio is evolving in response to these trends. For more information on the fund’s top picks in 2024, please check its top five holdings.
In its fourth quarter 2024 investor letter, Nightview Capital emphasized stocks such as Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM). Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) manufactures, packages, tests, and sells integrated circuits and other semiconductor devices. The one-month return Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) was -4.19%, and its shares gained 27.53% of their value over the last 52 weeks. On March 26, 2025, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) stock closed at $173.50 per share with a market capitalization of $899.866 billion.
Nightview Capital stated the following regarding Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) in its Q4 2024 investor letter:
“Semiconductors are the unsung heroes of the modern economy, powering everything from AI and 5G to electric vehicles and renewable energy systems. Without them, innovation stalls. The semiconductor industry has entered a supercycle, driven by unprecedented demand across industries that rely on advanced computing. And while this notoriously boom and bust industry has seen cycles before we believe this cycle remains in relative infancy.
These advancements aren’t incremental. As AI systems scale, the need for cutting-edge semiconductors will only accelerate. We believe the companies at the forefront of this revolution are foundational to the next wave of global progress.
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM): Core Opportunity: TSMC, the world’s largest dedicated chip foundry, holds an impressive 67% share of the global foundry market. Its dominance is even more pronounced at the cutting edge of semiconductor technology, where it plays a critical and unparalleled role. Their lead has only been strengthened recently and they have begun to take advantage of their pricing power.
Competitive Advantage: Revenue Growth: TSMC posted 34% YoY revenue growth in November 2024 to $8.55 billion, with robust demand across AI, high-performance computing, and 5G technologies.…” (Click here to read the full text)
A close-up of a complex network of integrated circuits used in logic semiconductors.
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is in 9th position on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 186 hedge fund portfolios held Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) at the end of the fourth quarter compared to 158 in the third quarter. The fourth quarter revenue of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) increased 14.3% sequentially in NT. While we acknowledge the potential of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
In another article, we discussed Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) where we shared Billionaire Ken Fisher’s top growth stock picks. In addition, please check out our hedge fund investor letters Q4 2024 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.