BofA Remains Bullish on Taiwan Semiconductor Manufacturing (TSM) – Here’s Why

1 day ago 3

Noor Ul Ain Rehman

Sat, June 27, 2026 astatine 1:37 PM CDT 2 min read

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is 1 of the harmless stocks for beginners to bargain successful 2026. BofA lifted the terms people connected Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) to $590 from $490 connected June 24 and maintained a Buy standing connected the shares. The steadfast stated that successful a backdrop featuring rising agentic AI demand, it anticipates overmuch stronger CPU request to devour much capableness crossed precocious front-end manufacturing and back-end packaging. The steadfast raised TSMC income expectations successful 2026 and 2027 to 40% and 39% year-over-year, respectively, to instrumentality into relationship a stronger CPU and AI GPU/ASIC request outlook.

In a abstracted development, Susquehanna lifted the terms people connected Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) to $575 from $500 connected June 22 and maintained a Positive standing connected the shares. The steadfast updated its model, including its capex and capableness strategy, which it believes volition transcend some statement and buy-side expectations. Susquehanna believes that the cardinal uncertainty remains however token maturation and the associated silicon requirements could thrust imaginable supply-demand imbalances.

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is the largest declaration semiconductor shaper successful the world. Some of its salient customers see semiconductor companies that outsource each oregon portion of their spot production, including Advanced Micro Devices, Nvidia, Broadcom, and more.

While we admit the imaginable of TSM arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

READ NEXT: 15 Stocks That Will Make You Rich successful 10 Years AND 12 Best Stocks That Will Always Grow.

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