Taiwan Semiconductor (TSM) Gains 54% in 2025, Analysts Rate Buy
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: Fool
- Optimistic Market Outlook: Taiwan Semiconductor achieved a 54% stock price increase in 2025, with 98% of 49 analysts rating it a buy, reflecting strong market confidence in its future performance.
- Sales Growth Forecast: The company expects a 30% increase in sales for 2026, correlating with its rising capital expenditures, indicating TSMC's proactive approach to meet the growing demand for artificial intelligence, thereby solidifying its market leadership.
- Improved Profitability: Earnings per share are projected to reach $13.05 in 2026, up 23% from $10.65 in 2025, demonstrating the company's ongoing improvement in profitability, which further boosts investor confidence.
- Price Target Increase: Analysts have set a highest price target of $520, representing a 59% upside from the current price, reflecting optimistic expectations for TSMC's future growth potential, which could yield substantial returns for investors.
Analyst Views on TSM
Wall Street analysts forecast TSM stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for TSM is 313.46 USD with a low forecast of 63.24 USD and a high forecast of 390.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
8 Analyst Rating
7 Buy
1 Hold
0 Sell
Strong Buy
Current: 327.370
Low
63.24
Averages
313.46
High
390.00
Current: 327.370
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.
