Taiwan Semiconductor (TSM) stock hit a record high of $345 per share after reporting strong Q4 results and bullish guidance on AI. Sales reached $33.71 billion, with EPS at $3.14, beating estimates by 11%. Q1 revenue is projected to be $34.6-$35.8 billion, driven by AI chip demand.

CEO Che-Chia Wei expressed confidence in AI demand, leading to a forecast of $52-$56 billion in CapEx. Taiwan Semi’s return on invested capital (ROIC) stands at 27.6%, indicating strong profitability. Despite a high P/S ratio of 14X, TSM’s forward P/E multiple is 26X, in line with industry standards.

With earnings growth and a growing customer base, Taiwan Semi is well-positioned to capitalize on the $971 billion semiconductor market by 2028. Analysts predict rising EPS revisions for TSM following the impressive Q4 results and optimistic AI outlook, making it a stock to watch for potential growth.

Read more at Nasdaq: Buy Taiwan Semi Stock After AI Fuels Strong Q4 Results & Guidance?