BN · rank #8 · 2026-10-21
TSM
NYSE · $2.20T (USD)
The exact numbers the algorithm saw.
| Composite score Z-score blend of the factors below; drives the rank. | 0.48 |
|---|---|
| Forward revenue growth Consensus forward revenue growth. | +37.5% |
| Forward net margin Consensus forward net margin. | +49.7% |
| Net margin TTM Trailing twelve month net margin. | +51.1% |
| Margin expansion Forward minus trailing net margin (percentage points). | -1.5% |
| Forward PEG Forward P/E to growth. Below 1 is cheap for the growth. | 0.86 |
| Debt / FCF Net debt relative to free cash flow. Lower is safer. | 0.64× |
| Analyst upside Spread between the consensus 12m target and the current price. | +39.1% |
| Last EPS surprise Most recent reported EPS versus consensus. | +3% |
| Market cap (USD) | $2.20T |
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
Taiwan Semiconductor Manufacturing (TSM) is the world's dominant pure-play semiconductor foundry, producing 3nm/2nm logic wafers and advanced packaging for leading chip designers and hyperscalers.
Rationale
TSM validates the bottleneck_solvers signal with 37.55% forward revenue growth, a 0.86 forward PEG, and a raised ~44% FY2026 growth outlook as demand for its leading-edge nodes and advanced packaging exceeds available industry supply.
Material risks
- 1Margin dilution from overseas fab expansions (e.g., US$265B Arizona plan) and 2nm ramps combined with a lack of disclosed long-term order backlogs could undermine profitability.
- 2Capacity constraints could push customers toward alternatives like Samsung or Intel, while tightening export controls and geopolitical tensions jeopardize TSM's Taiwan-centered production base.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 2 of 3 voted to proceed.