Following a volatile stretch for AI-related stocks, the article argues that Taiwan Semiconductor (TSMC) may be a more stable choice among chipmakers. TSMC's third-quarter revenue rose 51% year over year to nearly $47 billion, and quarterly net income climbed 69% to nearly $24 billion, yet the stock still fell after the October 15 report. According to TrendForce, its fabs control about 73% of the third-party chip manufacturing market, and key clients such as Nvidia and Broadcom will keep needing its advanced chips. The author notes risks including hyperscaler capex, rising interest rates and geopolitical tensions over Taiwan, but points out the stock trades at around 30 times earnings and is up about 40% over the past year. The article therefore suggests dollar-cost averaging into TSMC rather than making all-in purchases.
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Related tickers and likely impact
NVDA
▼ Likely negativeNvidia
Relevance: medium
| Market | US stocks |
|---|---|
| Sector | Information Technology |
| Industry | Semiconductors |
| Market cap | $5.2T |
| Close on 10/16/2026 | 214.13 |
| Change that session | -1.43% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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