12 Best Major Stocks to Buy According to Billionaires

5. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)

No. of Billionaire Holders: 30

No. of Hedge Fund Holders: 186

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is a Taiwan-based company that designs and manufactures semiconductors. The company targets various end markets, including high-performance computing, Internet of Things (IoT), smartphones, automotive, and digital consumer electronics. TSM sells its chips and semiconductor equipment to leading tech companies worldwide, including Nvidia, AMD, Apple, Broadcom, Marvell, and Qualcomm, among others.

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) overcame the smartphone seasonality challenges and an earthquake. During Q1 2025, the company posted $25.78 billion in revenue, beating estimates by $59.12 million. TSM experienced strong demand for its 7-nanometer and below category wafers, as the advanced technologies segment accounted for 73% of the wafer revenue. The company expects a 13% increase in Q2 revenue from Q1, driven by robust demand for 3- and 5-nanometer technologies. On top of that, the company plans to double its CoWoS capacity in 2025 to meet the growing AI-related demand. The company has also announced an additional $100 billion investment plan to expand its capacity in Arizona. This shows TSM’s commitment to meeting growing customer demand and providing a safe passage against the tariffs.

On April 28, BofA analyst Brad Lin maintained its Buy rating on TSM, keeping the price target at $220. Lin remains optimistic regarding TSM’s future following the company’s 2025 Technology Symposium in North America. The company demonstrated its unwavering dedication to tech leadership, breakthrough innovations in AI, and its growing footprint in the automotive and IoT sectors.