Jim Cramer’s Thoughts on These 7 Stocks

Page 6 of 6

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

Number of Hedge Fund Holders: 186

A caller asked for Cramer’s thoughts on Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM), and he replied:

“Taiwan Semiconductor is so low. I have to tell you… Look, I have tremendous conviction that it’s very difficult to politically… say that we will protect Taiwan Semi. I will say this, that is one of the greatest manufacturers in the world, and anybody who thinks that Taiwan Semi should be this low, this cheap is just not a believer in AI, and I am a believer in AI. There we go.”

Taiwan Semiconductor (NYSE:TSM) is a major player in the semiconductor industry. The company handles manufacturing, packaging, testing, and selling of integrated circuits and various semiconductor products. Middle Coast Investing stated the following regarding Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) in its Q1 2025 investor letter:

“Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is the company we own with the most obvious geopolitical risk, and we cut our position in half. I know that if Taiwan-China flares up the damage will extend much wider, but TSM would seem to be the first domino there. And it’s not as if Taiwan is having an easy time of it with the current U.S. administration.”

While we acknowledge the potential of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than TSM but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires

Disclosure: None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.

Page 6 of 6