15 AI Stocks That Are Skyrocketing

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

6-Month Performance: 53.37%

Number of Hedge Fund Holders: 194

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) ranks among the best AI stocks that are skyrocketing. On February 12, DA Davidson initiated coverage of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM), giving the stock a Buy rating and setting the price target at $450.

DA Davidson pointed to the company’s “compounding execution moat in leading edge manufacturing” that it sees as a “durable, self-reinforcing advantage” as AI compute demand grows. The research firm noted that Taiwan Semiconductor Manufacturing Company Limited’s (NYSE:TSM) competitive advantage comes from its ability to “repeatedly industrialize architectural transitions into predictable, high volume platforms.” DA Davidson pointed out that customers ultimately value goods being delivered on time.

According to the research firm, competitors may be able to match certain features “on paper.” However, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) stands out because of its ability to convert new devices and power architecture into “high yield, high throughput manufacturing with validated enablement and predictable ramps.”

On February 11, BofA Securities also reiterated its Buy rating on Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) with a price target of $470 on the stock.

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is a Taiwanese multinational semiconductor contract manufacturing and design company that manufactures, packages, and tests integrated circuits for various industries.