Taiwan Semiconductor Manufacturing Company Limited: Hedge Fund MIG Capital Boosts Stake

MIG Capital has boosted its stake in Taiwan Semiconductor Manufacturing Company Limited by 10,019 shares. The company reported a 22.5% revenue increase in July and has a market cap of approximately $1001.2 billion. Analysts maintain a 'Buy' rating with a target price of $220. Despite some volatility, TSMC's strong financial performance and strategic positioning in advanced technologies are key drivers of its stock score.

Taiwan Semiconductor Manufacturing Company Limited (TSMC) has reported robust financial performance in July, with a 22.5% increase in revenue compared to the previous year [1]. The company's strategic positioning in advanced technologies and proactive alignment with U.S. policy goals have driven its stock performance, with MIG Capital recently boosting its stake by 10,019 shares. Despite some volatility, TSMC's strong financial performance and market leadership continue to attract investor interest.

TSMC's July sales jumped 26% month-over-month, reaching NT$323.17 billion ($10.8 billion), driven by rising demand for advanced semiconductor chips, particularly in artificial intelligence (AI) applications [1]. This surge in demand is a continuation of the company's strong performance in 2025, with sales for the first seven months of the year rising 38% compared to the same period in 2024 [1]. The company's Q2 2025 results also reflected robust growth, with a 11.3% increase in revenue and a 10.2% rise in income compared to Q1 [1].

Looking ahead, TSMC projects third-quarter revenue to range between $31.8 billion and $33 billion, with anticipated growth of 57.5% in gross profit and 47.5% in operating profit margin [1]. The company's Senior VP and CFO, Wendell Huang, expects sustained demand for AI and high-performance computing (HPC) technologies to drive this momentum into Q3 2025 [1].

TSMC's stock performance has been bolstered by its exemption from U.S. President Donald Trump's proposed 100% tariff on chip imports. Following the announcement, TSMC's share price hit a record high of 1,180 Taiwan dollars on August 7, rising 4.9% [1]. Over the past 12 months, TSMC's shares have grown by 28%, and it has seen a 10% increase in 2025, driven largely by demand for semiconductor chips [1]. TSMC has been proactive in aligning with U.S. policy goals, with a planned $100 billion investment in the country over the next five years [1].

Analysts maintain a 'Buy' rating with a target price of $220, reflecting TSMC's strong financial performance and strategic positioning in advanced technologies [2]. Despite some volatility, TSMC's market cap of approximately $1001.2 billion underscores its leadership in the semiconductor industry [2].

References:
[1] https://www.ainvest.com/news/tsmc-july-sales-jump-26-mom-ai-demand-surge-2508/
[2] https://stockanalysis.com/stocks/tsm/