Shares of Taiwan Semiconductor Manufacturing Co. Ltd. (NYSE:TSM) are seeing their technical price action catch up to its fundamentals. The stock’s Benzinga Edge momentum score recently climbed from 89.57 to 90.67 week-on-week, officially placing its relative price strength in the top 10% of the market.
Bernstein Sees Unrivaled AI Moat
This upward trajectory aligns with a bullish update from Bernstein SocGen Group, which recently dubbed the chipmaker the “most trustworthy AI compounder.”
Analyst Mark Li raised Bernstein’s price target on TSM to $430.00 from $351.00, maintaining an Outperform rating based on strong conviction in the company’s AI-driven growth.
The firm forecasts a massive 28% earnings per share (EPS) compound annual growth rate (CAGR) over the next two and a half years. Furthermore, Bernstein noted that TSM is already mass-producing “true 2nm” chips and remains bound by capacity rather than demand, cementing a technological moat over rivals like Intel Corp. (NASDAQ:INTC) and Samsung.
