
TSM Stock Forecast & Price Target
TSM Analyst Ratings
Bulls say
Taiwan Semiconductor Manufacturing Co. (TSMC) is projecting a 25% revenue growth rate for 2026, reflecting an increase of approximately $5 billion due to stronger demand in artificial intelligence (AI) and the anticipated contributions from new N3 capacity. The company's earnings per American Depository Share (ADS) estimate has risen from $12.13 to $12.61, indicating a positive trend in profitability. Furthermore, TSMC's strategic positioning in the market, bolstered by significant clientele such as Apple, AMD, and Nvidia, is enhancing its revenue potential, as evidenced by an upgraded fiscal year 2025 revenue growth outlook from 24-26% to around 30%.
Bears say
Taiwan Semiconductor Manufacturing Co. (TSMC) is experiencing signs of potential financial strain, as evidenced by its guidance for Q4, which indicates a 1% decline in revenue quarter-over-quarter, marking the first forecasted decline in this historically strong seasonal period. The company's anticipated capital intensity remains high at around 33%, with flat year-over-year expectations and concerns regarding a high-single-digit decline in revenue in Q4 2025, which may suggest a concerning trend in its growth prospects. Additionally, while management anticipates revenue to outgrow capital expenditures, the forecasted decrease in gross margins due to factors like FX impacts and increased competition from overseas fabrication facilities raises further doubts about TSMC's financial stability moving forward.
This aggregate rating is based on analysts' research of Taiwan Semiconductor Manufacturing and is not a guaranteed prediction by Public.com or investment advice.
TSM Analyst Forecast & Price Prediction
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