Taiwan Semiconductor plans major U.S. investments, revenue expected to spike, positive.

From Nasdaq: 2025-03-04 03:04:00

Taiwan Semiconductor plans to invest $100 billion in U.S. manufacturing plants, expanding its presence after previously investing $65 billion in Arizona. Apple, its largest customer, contributed a quarter of TSM’s revenue in 2023. TSM’s revenue is expected to spike 26% in fiscal 2025 to $113.63 billion and 19% in FY26 to over $135 billion.

Taiwan Semiconductor’s annual earnings are projected to increase by 30% this year to $9.20 per share, with FY26 EPS expected to rise by 20%. TSM stock has dipped 9% in 2025 but is up 30% over the last year. With a Zacks Rank #2 (Buy), TSM may be a cheaper way to gain exposure to Apple’s market dominance.

Investors may find Taiwan Semiconductor’s expansion and investments in the U.S. lucrative, considering its client base of tech giants like Apple, Nvidia, and AMD. TSM stock has a Zacks Rank #2 (Buy) and is positioned for growth. TSM stock currently trades around $178 and has a forward earnings multiple of 19.6X.



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