Is Taiwan Semiconductor Still a Buy for Long-Term Investors?
Every time Taiwan Semiconductor Manufacturing reports another remarkable quarter, I ask myself the same question: How can one company be simultaneously one of the strongest businesses in the world and one of the most uncomfortable stocks to own? The answer is simple. TSMC manufactures the most important chips on Earth from an island that sits at the center of one of the most dangerous geopolitical rivalries on Earth. That creates an investment capable of inspiring admiration and indigestion at the same time. TSMC is the manufacturing engine behind much of modern computing. It produces advanced semiconductors for artificial intelligence systems, smartphones, data centers, automobiles, communications equipment, and countless devices most of us use without thinking about the microscopic engineering inside them. When a technology company announces a revolutionary processor, investors usually celebrate the company whose name appears on the presentation. TSMC is often the business actually r...