Is Taiwan Semiconductor a good investment.

**Taiwan Semiconductor Manufacturing Corporation (TSMC) appears to be a strong candidate for investment**, and here's why: 1. **Financial Performance**: TSMC's recent financial results are impressive, with a net income growth rate of 55.49% and a revenue growth rate of 37.48%. The company's diluted EPS has also seen a significant year-over-year growth of 55.55%. This indicates a strong profitability trend. |code|Ticker|Name|Date|Net Income YoY|market_code| |---|---|---|---|---|---| |TSM|TSM.N|TSMC|2024 Q2|30.787633690488313|169| |TSM|TSM.N|TSMC|2024 Q3|57.09087899900334|169| |TSM|TSM.N|TSMC|2024 Q4|46.73808408104411|169| |TSM|TSM.N|TSMC|2025 Q1|55.49343258514452|169| |code|Ticker|Name|Date|Total Revenue YoY|market_code| |---|---|---|---|---|---| |TSM|TSM.N|TSMC|2024 Q2|34.41455732149009|169| |TSM|TSM.N|TSMC|2024 Q3|41.54153475216974|169| |TSM|TSM.N|TSMC|2024 Q4|29.64824565273266|169| |TSM|TSM.N|TSMC|2025 Q1|37.4784375467821|169| |code|Ticker|Name|Date|Diluted EPS YoY|market_code| |---|---|---|---|---|---| |TSM|TSM.N|TSMC|2024 Q2|30.87109585673914|169| |TSM|TSM.N|TSMC|2024 Q3|56.925851198511964|169| |TSM|TSM.N|TSMC|2024 Q4|46.51159276854591|169| |TSM|TSM.N|TSMC|2025 Q1|55.553067902773066|169| 2. **Market Position and Growth Prospects**: TSMC is the world's leading semiconductor foundry, with a dominant position in the global semiconductor market. The company has been riding a wave of growth driven by artificial intelligence (AI) and advanced technology nodes. This positions TSMC well for continued growth in the future. 3. **Dividend and Shareholder Returns**: TSMC offers a dividend yield of 1.63%, which is a decent return for investors. The company has a history of dividend growth, with a dividend growth duration of two years. This suggests a commitment to returning value to shareholders. |code|Ticker|Name|Date|Payout Ratio|Dividend Yield (TTM)|market_code| |---|---|---|---|---|---|---| |TSM|TSM.N|TSMC|20240417|26.120438186900746|1.4087463137452347|169| |TSM|TSM.N|TSMC|20240418|26.200426039935394|1.4807439328645948|169| |TSM|TSM.N|TSMC|20240419|26.200426039935394|1.5337353171495693|169| |TSM|TSM.N|TSMC|20240420|26.200426039935394||169| |TSM|TSM.N|TSMC|20240421|26.200426039935394||169| |TSM|TSM.N|TSMC|20240422|26.200426039935394|1.5095028901734104|169| |TSM|TSM.N|TSMC|20240423|26.200426039935394|1.4678707936745858|169| |TSM|TSM.N|TSMC|20240424|26.200426039935394|1.472948785440325|169| |TSM|TSM.N|TSMC|20240425|26.200426039935394|1.4340166935129592|169| |TSM|TSM.N|TSMC|20240426|26.200426039935394|1.4161822125813448|169| |code|Ticker|Name|Dividend Growth Duration|Dividend Continuous Duration|market_code| |---|---|---|---|---|---| |TSM|TSM.N|TSMC|2|21|169| 4. **Cash Flow and Free Cash Flow**: TSMC's operating cash flow stands at $19.02 billion, and the company has a positive free cash flow of $10.97 billion. This indicates a strong ability to generate cash and a healthy financial position. |code|Ticker|Name|Date|Free Cash Flow|Investing Cash Flow|Operating Cash Flow|Financing Cash Flow|market_code| |---|---|---|---|---|---|---|---|---| |TSM|TSM.N|TSMC|2024 Q2|-5.3835490339572E8|-6.08961459712E9|1.163845879552E10|-2.7810476768E9|169| |TSM|TSM.N|TSMC|2024 Q3|2.0092431746106E9|-6.17722025022E9|1.238524619094E10|-2.64262271562E9|169| |TSM|TSM.N|TSMC|2024 Q4|5.9532793916351E10|-9.5126249349E9|1.89144539055E10|-3.0720338772E9|169| |TSM|TSM.N|TSMC|2025 Q1||-8.82310784096E9|1.902018961412E10|-2.57421723708E9|169| 5. **Institutional Confidence**: Institutional investors have shown confidence in TSMC, with several recent purchases and increased holdings in the company. This suggests that the company's financial health and growth prospects are recognized by leading investors. 6. **Market Sentiment and Analyst Ratings**: The consensus rating for TSMC is "Moderate Buy" from analysts, with an average 12-month target price of $220.00. This indicates a positive outlook for the stock, with potential for further price appreciation. In conclusion, TSMC's strong financial performance, market leadership, commitment to shareholder returns, and positive market sentiment make it a compelling investment case. However, as with any investment, it's important to consider your individual risk tolerance and investment goals before making any decisions.