The article argues that Taiwan Semiconductor (NYSE: TSM) has risen 380% over the past three years and more than 45% so far this year, driven largely by the AI boom. It describes TSMC as the world's largest chip foundry, with a 73% share of the foundry market and a share of advanced AI chips in the upper 90% range, and as the manufacturer for customers including Apple, Nvidia and Broadcom. Over the same three years, gross margin rose from 54.1% to 67.7%, and revenue grew 33.7% year over year in the second quarter. Assuming the share price stays flat through 2026 and the valuation multiple holds, the author estimates that EPS growth of about 15.6% a year could turn a $5,000 investment into roughly $8,000 by 2030, while stressing that this is an illustration rather than a guaranteed outcome.
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