Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is one of the 10 Best Semiconductor Stocks to Buy According to Reddit. The company announced its net revenue for June 2025. On a consolidated basis, revenue for June 2025 was ~NT$263.71 billion, reflecting a decline of 17.7% from May 2025, and a rise of 26.9% from June 2024. Furthermore, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)’s revenue for January through June 2025 came in at NT$1,773.05 billion, a rise of 40.0% compared to the same period in 2024.
A close-up of a complex network of integrated circuits used in logic semiconductors.
Revenue for April-June stood at T$933.8 billion ($31.9 billion), as per Reuters calculations, increasing 38.6% from T$673.51 billion in the year-ago period. The demand for Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)’s products continued to leap on increased interest in AI applications, added Reuters. The company’s consolidated revenue came in at NT$839.25 billion, net income at NT$361.56 billion, and diluted EPS at NT$13.94 (US$2.12 per ADR unit) for Q1 2025.
While Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)’s business was impacted by smartphone seasonality in Q1 2025, this was offset by continued growth in AI-related demand. Longriver Investment Partners released its Q2 2025 investor letter. Here is what the fund said:
“Underpinning all of this is one constant. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) remains the lynchpin of the AI compute stack. Every major chip, whether merchant or custom, still runs through its fabs. No other foundry comes close on yield, throughput, or consistency.
If anything, TSMC’s importance has deepened further, thanks to its own initiative and its competitors’ fumbles. In mid-2024, it unveiled its “Foundry 2.0” strategy, redefining its role beyond traditional manufacturing to include advanced packaging, testing, mask-making, and other services vital to progressing Moore’s Law as transistor density gains slow. By integrating all these aspects of chip design, TSMC can deliver better results for its customers and tie them in even closer. One expert summed it up: “TSMC’s system-level co-design is unparalleled.”
Nowhere was that shift more visible than in 2024, when TSMC’s 2.5D CoWoS packaging became a chokepoint. Nvidia’s Blackwell hit thermal limits not because of bad silicon, but because packaging couldn’t keep up. TSMC is doubling CoWoS capacity, but the episode showed how sensitive the stack has become and how much everything now depends on packaging. But packaging is not the only place TSMC is innovating. It is also pushing the limits of the chip itself…” (Click here to read the full text)
While we acknowledge the potential of TSM to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than TSM and that has 100x upside potential, check out our report about this cheapest AI stock.
READ NEXT: 13 Cheap AI Stocks to Buy According to Analysts and 11 Unstoppable Growth Stocks to Invest in Now
Disclosure: None. This article is originally published at Insider Monkey.
Hedge Fund Resource Center