TSMC's massive $6.5 trillion valuation opportunity: Is the Taiwan chipmaker stock to buy for the next 4 years? Decoded

What happened: TSMC shares surged 57% in the first half of 2026 but fell 15% in the second half on concerns about the sustainability of the AI trade. Why it matters: A Motley Fool analysis cited in the report projects 35% growth through 2030 and a $6.5 trillion market capitalisation at 25 times earnings, while analysts expect 38% growth in 2027. TSMC said AI chip demand remains strong and capital expenditure between 2026 and 2028 will be significantly higher than in the prior three years.

TSMC shares surged 57% in the first half of 2026 but fell 15% in the second half on concerns about the sustainability of the AI trade.

A Motley Fool analysis cited in the report projects 35% growth through 2030 and a $6.5 trillion market capitalisation at 25 times earnings, while analysts expect 38% growth in 2027. TSMC said AI chip demand remains strong and capital expenditure between 2026 and 2028 will be significantly higher than in the prior three years.