AI chip giant NVIDIA’s stock price rose 3.5% on Tuesday, officially surpassing Microsoft to become the most valuable company globally. This pushed Taiwan Semiconductor Manufacturing Company (TSMC) and Taiwan’s stock market to refresh historical highs today. Despite NVIDIA and TSMC showing strong momentum this year, analysts remain optimistic about their future development.
According to Companiesmarketcap.com data, NVIDIA’s stock price rose 3.5% to $135.58 on Tuesday, reaching $3.335 trillion in market value, officially surpassing Microsoft to become the world’s most valuable company. Microsoft’s current market value is about $3.317 trillion, sliding to second place, while Apple ranks third at $3.285 trillion.
So far this year, NVIDIA’s stock price has risen by over 181%, with a 43% increase in the last month following the release of the first-quarter financial report in May. Since the end of 2022, NVIDIA’s stock price has increased more than 9 times.
Driven by NVIDIA, TSMC, an important partner, continues to hit new historical highs. Today, after the opening of the Taiwan Stock Exchange, TSMC reported $953, reaching a high of $984 during the session, pushing its market value to $25.52 trillion, approaching the $1000 mark and showing a stock price increase of over 63% so far this year. With the surge in TSMC’s stock price, Taiwan’s stock market broke through the 23,000-point mark today, closing at 23,209 points, up 1.99%.
Despite the significant increase in the stock prices of NVIDIA and TSMC, analysts remain bullish on the future development of these two companies. Rosenblatt Securities analyst Hans Mosesmann raised NVIDIA’s target price from $140 to $200 on Tuesday, indicating over 50% upside potential for NVIDIA, approaching a market value of $5 trillion.
Hans Mosesmann pointed out that NVIDIA’s Hopper, Blackwell, and Rubin series products have increased the “value” market share during Silicon Valley’s most successful chip product cycle. While NVIDIA is best known for driving the AI revolution with GPUs, he is encouraged by the increasing potential of the company to integrate software. Additionally, four foreign institutions, including Citigroup, Goldman Sachs, JPMorgan, and Morgan Stanley, have raised TSMC’s target price in their latest reports. Morgan Stanley and JPMorgan have raised TSMC’s target price from the original $980 and $900 to $1,080, Citigroup from $1,030 to $1,150, and Goldman Sachs from $975 to $1,160.
This has led to nine foreign institutional investors with target prices for TSMC above $1000, including Goldman Sachs, Citigroup Global, JPMorgan, Morgan Stanley, Bank of America, HSBC, UBS, Macquarie, and Haitong International Securities, with target prices ranging from $1,000 to $1,160.