BN · rank #13 · 2026-09-04
TSM
NYSE · $2.16T (USD)
The exact numbers the algorithm saw.
| Composite score Z-score blend of the factors below; drives the rank. | 0.42 |
|---|---|
| Forward revenue growth Consensus forward revenue growth. | +34.2% |
| Forward net margin Consensus forward net margin. | +48.1% |
| Net margin TTM Trailing twelve month net margin. | +49.9% |
| Margin expansion Forward minus trailing net margin (percentage points). | -1.8% |
| Forward PEG Forward P/E to growth. Below 1 is cheap for the growth. | 0.79 |
| Debt / FCF Net debt relative to free cash flow. Lower is safer. | 0.90× |
| Analyst upside Spread between the consensus 12m target and the current price. | +32.5% |
| Last EPS surprise Most recent reported EPS versus consensus. | +11% |
| Market cap (USD) | $2.16T |
The AI research card
Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.
Summary
TSMC is the world's dominant leading-edge contract foundry, serving as the primary manufacturer of advanced AI accelerators, GPUs, and custom silicon for hyperscalers and fabless chip designers globally.
Rationale
The bottleneck-solver thesis is directly reinforced by TSMC's planned quadrupling of CoWoS advanced packaging capacity to ~130,000 wafers/month and its central role as the sole high-volume manufacturer of leading-edge AI chips, with 36% YoY revenue growth, a 0.79 forward PEG, and 32% analyst upside confirming both structural scarcity value and underappreciated earnings power.
Material risks
- 1U.S. export control escalation — specifically revocation of fast-track tool-shipping status for the Nanjing fab — could impair China revenue and force costly equipment workarounds, directly threatening the operational continuity that underpins the bottleneck-solver moat.
- 2The $160B+ combined CapEx commitment (Arizona + ongoing) creates meaningful execution and return-on-capital risk if U.S. fab yields lag, CHIPS Act subsidies disappoint, or AI capex by hyperscalers moderates before the new capacity is absorbed.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 3 of 3 voted to proceed.