5 Best Asian Stocks To Buy Today

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

Number of Hedge Fund Holders: 86

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) was incorporated in 1987 and is headquartered in Hsinchu City, Taiwan. The company manufactures, tests, and markets integrated circuits and other semiconductor devices in Taiwan, China, Europe, the Middle East, Africa, Japan, the United States, and internationally. On February 24, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) announced that it intends to build a second chip factory in Japan, with a cost of over 1 trillion yen. This move is expected to revive the development of advanced semiconductor manufacturing in Japan, which is deemed crucial for future economic growth driven by emerging digital technologies. It is one of the best Asian stocks to monitor. 

On January 10, Morgan Stanley analyst Charlie Chan identified Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) as a “Catalyst Driven Idea” before the company’s release of Q4 results and Q1 guidance on January 12th. The analyst believes that TSMC’s gross margins could exceed expectations due to the company’s wafer price increases. As a result, the analyst maintained an Overweight rating and an NT$700 price target on TSMC shares leading up to the results.

According to Insider Monkey’s fourth quarter database, 86 hedge funds were bullish on Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM), compared to 87 funds in the earlier quarter. Stephen Mandel’s Lone Pine Capital is the largest stakeholder of the company, with 10.4 million shares worth $774 million. 

Baron Emerging Markets Fund made the following comment about Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) in its Q4 2022 investor letter:

“Semiconductor giant Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) contributed in the fourth quarter due to easing geopolitical concerns and expectations for end-demand recovery later in 2023. We retain conviction that Taiwan Semi’s technological leadership, pricing power, and exposure to secular growth markets, including high-performance computing, automotive, 5G, and IoT, will allow the company to sustain strong earnings growth over the next several years.”