Buy Top-Ranked Tech Stock TSMC Now on the Dip and Hold

What happened: Technology and AI stocks rose on Monday as the Nasdaq tried to reclaim its 50-day moving average ahead of big tech earnings. Taiwan Semiconductor (TSM) reported a beat-and-raise Q3 on October 15 and holds a Zacks Rank #1 (Strong Buy). Key numbers: TSMC Q3 earnings grew 58% on 41% higher revenue. Why it matters: Upward earnings revisions and management's raised guidance support the bullish case, and the pullback has TSM near oversold RSI levels with an average Zacks price target implying 29% upside. Market: +1.8% today ($538.05), +140.8% YTD, 1.0x vol — as of 22:01 UTC

Technology and AI stocks rose on Monday as the Nasdaq tried to reclaim its 50-day moving average ahead of big tech earnings. Taiwan Semiconductor (TSM) reported a beat-and-raise Q3 on October 15 and holds a Zacks Rank #1 (Strong Buy).

Upward earnings revisions and management's raised guidance support the bullish case, and the pullback has TSM near oversold RSI levels with an average Zacks price target implying 29% upside. Market: +1.8% today ($538.05), +140.8% YTD, 1.0x vol — as of 22:01 UTC