Here Are This Elite Fund’s Top 5 Stock Picks

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

Percentage of Lone Pine Capital’s Stock Portfolio: 6.53%

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is a manufacturer and seller of integrated circuits and wafer semiconductor devices. In 2022, the company provided its products to 532 customers and had a manufacturing capacity of more than 15 million 12-inch equivalent wafers.

On November 14, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) announced a quarterly dividend of NT$3.50 (NT$1 = $0.032) per share, payable by April 11, 2024, to the shareholders of record on March 18, 2024. The dividend yield of the company is 2.17% at the time of writing on November 20.

On November 13, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) announced that its October net revenue increased 34.8% month-over-month (MoM) to nearly NT$243.2 billion while the net revenue grew 15.7% year-over-year (YoY).

Wedgewood Partners talked about Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) in its third quarter 2023 investor letter. Here is what it said:

“Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) detracted from performance, as revenues declined 10% from a year ago. The Company is lapping revenue growth of over +40% (compared to 2022) during every quarter of 2023, so it is more instructive to look at the health of the business through the lens of a multi-year timeframe. Most of the Company’s customers have seen near-term weakness in demand due to pandemic normalization. However, we think the longer-term trend of more silicon per device is still very much intact, and the Company is well-positioned to serve this, given its commanding market share in leading edge capacity. The Company’s aggressive investment in leading-edge equipment combined with tight development with fabless IC designers, plus the embrace of open development libraries, should continue to foster a superior competitive position and attractive long-term growth.”