- Taiwan Semiconductor Manufacturing Corporation is well-known for its aptitude at producing chips for the world's biggest auto, smartphone and computing plays.
- Looking deeper, it is also located at a central position within the chips supply chain.
- A nationalization drive covering key electronics items could have an impact on the Taiwanese manufacturer, but the latter has taken concrete steps to build 5nm process for chips in the U.S.
- Also, by expanding some lower-end chip production in China, TSMC seems to have stroked a delicate geo-political balancing act.
- The company remains a buy with a price target of $165-167, given 40% increase in CapEX spend for 2021 and the vaccine-led economic recovery.
For further details see:
TSMC: At The Heart Of Semiconductor Supplies