Billionaire Mandel Sells Meta Shares, Shifts to AI Stock
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
0mins
Should l Buy TSM?
Source: NASDAQ.COM
- Mandel Sells Meta: Billionaire Stephen Mandel completely divested 1.3 million shares of Meta in Q4 2025, valued at approximately $971 million, indicating concerns over the social media giant's future prospects despite its strong advertising assets.
- New AI Stock Favorite: Mandel's new top holding is Taiwan Semiconductor Manufacturing Company (TSMC), whose stock has skyrocketed due to surging AI demand, reflecting the market's robust appetite for AI hardware and TSMC's pricing power.
- Investment Strategy Shift: Although Mandel's fund has gradually reduced its stake in TSMC over the past three years, the rapid increase in TSMC's market value has made it the new top holding, highlighting a strategic pivot towards the AI revolution.
- Market Outlook Analysis: While Meta's AI investments may not significantly impact performance in the short term, Mandel's sale could be based on predictions about future market dynamics, particularly against the backdrop of rising demand for AI hardware.
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Analyst Views on TSM
Wall Street analysts forecast TSM stock price to fall
8 Analyst Rating
7 Buy
1 Hold
0 Sell
Strong Buy
Current: 385.750
Low
63.24
Averages
313.46
High
390.00
Current: 385.750
Low
63.24
Averages
313.46
High
390.00
About TSM
Taiwan Semiconductor Manufacturing Co Ltd is a Taiwan-based integrated circuit foundry service provider. The Company is primarily engaged in integrated circuit manufacturing services. It offers advanced process technologies, specialised process solutions, advanced photomask and silicon stacking, and packaging-related technologies, while supporting a comprehensive design ecosystem. The Company's products serve diverse electronic sectors including artificial intelligence, high-performance computing, wired and wireless communications, automotive and industrial equipment, personal computing, information applications, consumer electronics, smart internet of things, and wearable devices.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Taiwan Semiconductor's Growth Prospects Driven by AI Demand
- Strong AI Demand: Taiwan Semiconductor's recent earnings report highlights robust order flow from the AI sector, projecting revenue growth to exceed double the industry forecast of 14% by 2026, showcasing its competitive edge in the semiconductor industry.
- Capacity Expansion Plans: To meet the surging demand, Taiwan Semi is accelerating the construction of new fabrication facilities, including projects in Arizona and Japan, which will help enhance its market share in the 3-nanometer product category.
- Diversified Product Portfolio: Taiwan Semi is not solely reliant on AI for growth; it anticipates significant gains in smartphone, IoT, and automotive chips, with expected average annual revenue growth in the AI accelerator chip segment reaching the mid to high 50% range, further solidifying its market position.
- Cyclical Risk Management: Despite the optimistic outlook, Taiwan Semi remains cautious about the cyclical nature of its business, with the CFO noting that margin dilution from overseas fabs and significant capital budget expansions could impact long-term profitability, necessitating careful navigation of potential market fluctuations.
See More
Taiwan Semiconductor: A Core Player in the AI Boom
- Market Share Advantage: As the world's largest dedicated chip manufacturer, TSMC holds approximately 70% market share, and its stock has surged over 170% in the past five years amid skyrocketing AI-related demand, underscoring its dominant position and robust growth potential in the industry.
- Strong Financial Performance: In Q4 2025, TSMC reported a 20.5% year-over-year net revenue growth, with gross profit up 27.2% and earnings per share increasing by an impressive 35%, indicating a healthy financial status driven by strong demand in the AI market.
- Future Growth Expectations: CEO C.C. Wei anticipates a 25% CAGR for long-term revenue growth, with the company projected to pull in $35 billion in Q1 2026, reflecting a positive outlook on future market demand.
- Risks and Opportunities: While TSMC faces challenges such as technology commoditization, geopolitical risks, and competition, its $56 billion investment plan signals confidence in future growth, and its diversification efforts aim to mitigate risks while maintaining market competitiveness.
See More
TSMC Reaches $2 Trillion Market Value Amid AI Surge
- Market Share Projection: International Data Corporation projects that TSMC will hold a 67% share of the global foundry market by 2025, demonstrating its strong competitive position and market dominance in the semiconductor industry.
- Stock Performance: TSMC's stock has surged 208% over the past five years, reflecting strong investor confidence in its growth potential amid rising AI demand.
- Analyst Rating: DA Davidson analyst Gil Luria initiated coverage with a Buy rating and a $450 price target, highlighting TSMC's efficient production capabilities in complex chip design transitions and its nearly 60% gross margin, indicating strong operational discipline.
- Revenue Growth: TSMC reported January revenue of NT$401.3 billion ($12.7 billion), up 36.8% year-over-year, exceeding the projected 30% full-year growth rate, indicating robust performance driven by AI demand.
See More
Billionaire Mandel Sells Meta, Shifts to TSMC
- Mandel Sells Meta: Billionaire Stephen Mandel completely divested 1,322,260 shares of Meta during Q4, valued at approximately $971 million, representing 7.1% of Lone Pine's assets, likely driven by profit-taking and caution regarding Meta's future performance.
- Impact of Meta's AI Spending: Despite Meta's strong social media assets, its AI capital expenditures exceeded Wall Street's expectations, leading to a stock price drop in October, indicating market concerns over future investment returns, which may have prompted Mandel's early exit.
- Shift to TSMC: Mandel's new top holding is Taiwan Semiconductor, which has seen a near-parabolic stock rise, despite his gradual reduction in stake over the past three years, reflecting confidence in the semiconductor sector's growth potential.
- TSMC's Growth Potential: Benefiting from the AI revolution, TSMC is experiencing skyrocketing demand for GPUs, prompting rapid expansion of its monthly chip production capacity, with projected sales growth of 24% by 2027, and its reasonable forward P/E ratio of 21 further attracts Mandel's interest, indicating optimism for future growth.
See More
Billionaire Mandel Sells Meta Shares, Shifts to AI Stock
- Mandel Sells Meta: Billionaire Stephen Mandel completely divested 1.3 million shares of Meta in Q4 2025, valued at approximately $971 million, indicating concerns over the social media giant's future prospects despite its strong advertising assets.
- New AI Stock Favorite: Mandel's new top holding is Taiwan Semiconductor Manufacturing Company (TSMC), whose stock has skyrocketed due to surging AI demand, reflecting the market's robust appetite for AI hardware and TSMC's pricing power.
- Investment Strategy Shift: Although Mandel's fund has gradually reduced its stake in TSMC over the past three years, the rapid increase in TSMC's market value has made it the new top holding, highlighting a strategic pivot towards the AI revolution.
- Market Outlook Analysis: While Meta's AI investments may not significantly impact performance in the short term, Mandel's sale could be based on predictions about future market dynamics, particularly against the backdrop of rising demand for AI hardware.
See More
Barron’s Top Fund Families for 2025
Opportunity for Fund Managers: Last year provided a significant opportunity for skilled fund managers to demonstrate their capabilities in navigating market challenges.
Market Conditions: The financial landscape presented unique conditions that allowed for strategic investment decisions and potential gains.
Performance Evaluation: The year served as a benchmark for assessing the effectiveness and decision-making skills of fund managers.
Investor Expectations: Investors were keenly observing how fund managers adapted to the evolving market, influencing future investment strategies.
See More
Taiwan Semiconductor's Growth Prospects Driven by AI Demand
- Strong AI Demand: Taiwan Semiconductor's recent earnings report highlights robust order flow from the AI sector, projecting revenue growth to exceed double the industry forecast of 14% by 2026, showcasing its competitive edge in the semiconductor industry.
- Capacity Expansion Plans: To meet the surging demand, Taiwan Semi is accelerating the construction of new fabrication facilities, including projects in Arizona and Japan, which will help enhance its market share in the 3-nanometer product category.
- Diversified Product Portfolio: Taiwan Semi is not solely reliant on AI for growth; it anticipates significant gains in smartphone, IoT, and automotive chips, with expected average annual revenue growth in the AI accelerator chip segment reaching the mid to high 50% range, further solidifying its market position.
- Cyclical Risk Management: Despite the optimistic outlook, Taiwan Semi remains cautious about the cyclical nature of its business, with the CFO noting that margin dilution from overseas fabs and significant capital budget expansions could impact long-term profitability, necessitating careful navigation of potential market fluctuations.
See More
Taiwan Semiconductor: A Core Player in the AI Boom
- Market Share Advantage: As the world's largest dedicated chip manufacturer, TSMC holds approximately 70% market share, and its stock has surged over 170% in the past five years amid skyrocketing AI-related demand, underscoring its dominant position and robust growth potential in the industry.
- Strong Financial Performance: In Q4 2025, TSMC reported a 20.5% year-over-year net revenue growth, with gross profit up 27.2% and earnings per share increasing by an impressive 35%, indicating a healthy financial status driven by strong demand in the AI market.
- Future Growth Expectations: CEO C.C. Wei anticipates a 25% CAGR for long-term revenue growth, with the company projected to pull in $35 billion in Q1 2026, reflecting a positive outlook on future market demand.
- Risks and Opportunities: While TSMC faces challenges such as technology commoditization, geopolitical risks, and competition, its $56 billion investment plan signals confidence in future growth, and its diversification efforts aim to mitigate risks while maintaining market competitiveness.
See More
TSMC Reaches $2 Trillion Market Value Amid AI Surge
- Market Share Projection: International Data Corporation projects that TSMC will hold a 67% share of the global foundry market by 2025, demonstrating its strong competitive position and market dominance in the semiconductor industry.
- Stock Performance: TSMC's stock has surged 208% over the past five years, reflecting strong investor confidence in its growth potential amid rising AI demand.
- Analyst Rating: DA Davidson analyst Gil Luria initiated coverage with a Buy rating and a $450 price target, highlighting TSMC's efficient production capabilities in complex chip design transitions and its nearly 60% gross margin, indicating strong operational discipline.
- Revenue Growth: TSMC reported January revenue of NT$401.3 billion ($12.7 billion), up 36.8% year-over-year, exceeding the projected 30% full-year growth rate, indicating robust performance driven by AI demand.
See More
Billionaire Mandel Sells Meta, Shifts to TSMC
- Mandel Sells Meta: Billionaire Stephen Mandel completely divested 1,322,260 shares of Meta during Q4, valued at approximately $971 million, representing 7.1% of Lone Pine's assets, likely driven by profit-taking and caution regarding Meta's future performance.
- Impact of Meta's AI Spending: Despite Meta's strong social media assets, its AI capital expenditures exceeded Wall Street's expectations, leading to a stock price drop in October, indicating market concerns over future investment returns, which may have prompted Mandel's early exit.
- Shift to TSMC: Mandel's new top holding is Taiwan Semiconductor, which has seen a near-parabolic stock rise, despite his gradual reduction in stake over the past three years, reflecting confidence in the semiconductor sector's growth potential.
- TSMC's Growth Potential: Benefiting from the AI revolution, TSMC is experiencing skyrocketing demand for GPUs, prompting rapid expansion of its monthly chip production capacity, with projected sales growth of 24% by 2027, and its reasonable forward P/E ratio of 21 further attracts Mandel's interest, indicating optimism for future growth.
See More
Billionaire Mandel Sells Meta Shares, Shifts to AI Stock
- Mandel Sells Meta: Billionaire Stephen Mandel completely divested 1.3 million shares of Meta in Q4 2025, valued at approximately $971 million, indicating concerns over the social media giant's future prospects despite its strong advertising assets.
- New AI Stock Favorite: Mandel's new top holding is Taiwan Semiconductor Manufacturing Company (TSMC), whose stock has skyrocketed due to surging AI demand, reflecting the market's robust appetite for AI hardware and TSMC's pricing power.
- Investment Strategy Shift: Although Mandel's fund has gradually reduced its stake in TSMC over the past three years, the rapid increase in TSMC's market value has made it the new top holding, highlighting a strategic pivot towards the AI revolution.
- Market Outlook Analysis: While Meta's AI investments may not significantly impact performance in the short term, Mandel's sale could be based on predictions about future market dynamics, particularly against the backdrop of rising demand for AI hardware.
See More
Barron’s Top Fund Families for 2025
Opportunity for Fund Managers: Last year provided a significant opportunity for skilled fund managers to demonstrate their capabilities in navigating market challenges.
Market Conditions: The financial landscape presented unique conditions that allowed for strategic investment decisions and potential gains.
Performance Evaluation: The year served as a benchmark for assessing the effectiveness and decision-making skills of fund managers.
Investor Expectations: Investors were keenly observing how fund managers adapted to the evolving market, influencing future investment strategies.
See More
