TSMC could reach $6.5 trillion market capitalisation by 2030, says Motley Fool
The Taiwan Semiconductor Manufacturing Company stock could nearly triple in value over the next four years if revenue grows at 35 per cent.
Taiwan Semiconductor Manufacturing Company (TSMC) has reported its sixth consecutive quarter of record net profit, according to a Mint report. The company recorded revenue of NT$1.49 trillion ($46.36 billion), which exceeded the estimated NT$1.47 trillion, and net income of NT$763.1 billion, surpassing analyst expectations of NT$746.34 billion.
The news agency Motley Fool suggested that if the chipmaker achieves a 35 per cent revenue growth rate through 2030, its revenue could reach $518 billion. At a 50 per cent profit margin, this would result in approximately $259 billion in profits. Under these estimates, TSMC could command a market capitalisation of $6.5 trillion by 2030, up from its current $2.2 trillion.
TSMC stated that demand for AI chips remains strong due to the adoption of open-source AI models and agentic AI. The company noted rising demand for AI accelerators and processors used in networking and agentic AI applications.
The company has forecast fourth-quarter revenue to be between $52.3 billion and $54.3 billion. This represents a 58 per cent jump from a year earlier at the midpoint of the guidance range.
TSMC expects capital expenditure between 2026 and 2028 to be significantly higher than the previous three years to support customer demand. The company is also reportedly evaluating a potential investment in Texas to strengthen its US manufacturing presence beyond Arizona.