Taiwan Semiconductor Manufacturing Corporation

The artificial intelligence (AI) trend has provided an intense tailwind for tech stocks in recent years, propelling the likes of Nvidia and Meta Platforms into the trillion-dollar club with Apple, Microsoft,

The Nvidia GPU Technology Conference (GTC) is eagerly awaited for updates on new GPUs and AI innovations, such as humanoid robots and autonomous vehicles, to which Taiwan is anticipated to continue being a significant contributor.

News of more investment from the top chip manufacturer is exciting for Americans - but how about international competitors?

While Trump's tariff plans are causing widespread market jitters, many AI companies aren't shifting their longterm plans.

The advent of DeepSeek and other factors are contributing to the current shortage of Nvidia's GPUs, as Taiwan's AI industry supply chain is on the brink of entering its third wave of strong growth momentum.

So, TSMC presents a less volatile option than individual chip designers when it comes to investing in AI. At a valuation of just 23 times forward earnings estimates, it's an absolute bargain. TSMC is far from the only big company excluded from the S&P 500, but it's one of the most attractive large-cap stocks outside of the index right now.

Chip stocks got hit hard on Monday in response to the launch of the Chinese artificial intelligence (AI) chatbot DeepSeek. This threat of falling chip prices and demand sent Taiwan Semiconductor (NYSE: TSM) plunging 13.

Discover why TSMC's stock has outperformed the market due to AI-driven growth, but faces challenges from geopolitical risks. Click here to read more.