Billionaires invest in Taiwan Semiconductor as AI demand drives growth

Billionaire investors Chase Coleman and Steve Cohen have recently purchased shares in Taiwan Semiconductor Manufacturing Company (TSMC), a leading player in the chip industry. This marks a significant move as TSMC is a key supplier for major tech firms like Apple and Nvidia. TSMC has seen strong demand for its advanced 3-nanometer chips, which accounted for 20% of its revenue in the latest quarter. The company plans to begin producing even more efficient 2-nanometer chips by 2025, expected to further boost its market position. Financially, TSMC reported a 39% revenue growth in New Taiwan dollars for Q3, with analysts projecting continued growth driven by AI demand. The stock is currently valued at 20 times its projected 2025 earnings, indicating a favorable investment opportunity.