
TSM Stock Forecast & Price Target
TSM Analyst Ratings
Bulls say
Taiwan Semiconductor is a global leader in the semiconductor foundry industry, with a strong focus on advanced technology and a diverse customer base. Their strong financial performance, with 34% Y/Y revenue growth and a 67.7% gross margin in Q2 2026, is driven by demand for their leading-edge technologies in the high-performance computing, smartphone, and IoT markets. Their significant investments in expanding capacity and technological capabilities position them well for continued growth and success. However, there are potential risks to consider, including exchange rate fluctuations and the cyclical nature of the semiconductor industry.
Bears say
Taiwan Semiconductor is the largest foundry in the world and has been able to maintain solid operating margins in the highly competitive foundry business, thanks to its scale and high-quality technology. However, there are concerns about potential market demand moderation for AI, smartphones, and PCs, which collectively make up 80%+ of TSMC's sales, as well as increased competition from foundry capex/investments by Intel and Samsung. Additionally, geopolitical risks and a shift towards more expensive fab build-outs in regions such as the US, Japan, and Europe could also impact TSMC's bottom line. Despite TSMC's impressive technology and customer base, the necessary investments for its 2nm GAA technology and potential GM dilution are also reasons for our negative outlook.
This aggregate rating is based on analysts' research of Taiwan Semiconductor Manufacturing and is not a guaranteed prediction by Public.com or investment advice.
TSM Analyst Forecast & Price Prediction
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