Because traders study every tweet associated with the tariff from President Trump, the Revolution of Artificial Intelligence (AI) is serene down in the background. AI tools change the way users search for, research and code, while companies embed artificial intelligence into daily flow of work. To apply this powerful trend, I think that the shares to consider today’s purchase are Taiwan Semiconductor Manufacturing Co. (NYSE: TSM).

TSMC, as you know, is the world -leading purePlay semiconductor foundry, which means that it builds tokens for others, not itself. The list of customers is who is who from the world of technology – AppleIN NvidiaIN AMDIN QualcommGoogle, and even Tesla They all rely on a huge extent on TSMC to produce their most advanced systems.

This means that the company controls the immense majority of global production of AI systems.

Incredible growth

In the first quarter we saw this competitive strength. Revenues increased by 41.6%-ignoring currency movements-to USD 25.5 billion, as a demand for AI systems, they easily compensate for weakness in other areas (e.g. a smartphone). Net profit increased by 60.3% to just over USD 11 billion, which is an amazing 43% net margin.

Throughout the year, management expects an boost in revenues in the middle of 20%. Looking further until 2029, TSMC sees that the annual boost in revenues is approaching 20%. For a huge company, this is an impressive growth.

However, one uncertainty is global commercial tensions that can lead to a slowdown in demand. The company claims that it has not seen this evidence so far, but this is a potential problem.

Another risk often emphasized in action is the potential for China to suddenly attack Taiwan. This cannot be ruled out again, although I imagine that most of the wallets would take a breakdown if something as grave as it happened. Let’s hope it is not.

To diversify your global trace, TSMC spends USD 165 billion on establishing American production on “The power of the future AI“He also opened a up-to-date FAB in Japan and builds one in Germany. This reduces the risk of having all the production of chips on the island of Taiwan.

Increase in a reasonable price

It is worth mentioning that the USA listed by the USA, unfortunately, do not qualify for storage in ISA actions and actions. But you can buy them on a general trade account or personal personal retirement (I have some in my SIPP).

The price of the shares has dropped by 13% from January. And at 195 USD, shares trade 20 times ahead, which in my opinion is a very reasonable valuation for the world-class company is still growing.

Update cycle

To overtake the curve, TSMC is to start the production of the latest 2 Nm and 1.6 Nm process technologies at the end of 2025 and 2026, they will produce faster and more energy -saving systems and may cause a fresh cycle of improvements in the technology industry.

Looking to the future, I expect TSMC to remain at the center of many powerful technological trends. From AI data centers and VR headphones to electric vehicles and taxi without a driver, they all need a lot of advanced systems.

I think that the actions represent a high -quality boost at a very reasonable price and it is worth considering.