Taiwan Semiconductor Manufacturing Company AKA TSMC (TSM)
Entry: Unlock
Price target: 186.00-188.00
Second PT: Unlock
One of the most influential companies in the semiconductor space is down 30% from its highs this year (at one point 40%), possibly marking a phenomenal entry point for investors who want exposure to the artificial intelligence boom. Taiwan Semiconductor is responsible for the production of 90% of the world’s most advanced computer chips, making them the backbone to the industry. And while the company has been selling off due to rears over tariffs, Taiwan is set to be one of the first countries to negotiate tariffs with the Trump administration. The U.S. understands that a weakening in their economy may open the doors to an attack from China, a risk the U.S. cannot afford right now. TSMC was also quick to respond to tariffs, opening talks with Intel early on to begin using its U.S. factories and building their own factories in the states to satisfy Trump’s demands.
Looking at their financials, after the sell-off this year, TSMC now now trades at a price to earnings ratio of 22x, near the middle of attractive 15-25 range. This is a company that grew its annual revenue by 30% last year, along with net income growth of 36%. While net income and P/E ratio may be impacted by tariffs, the company’s sales growth goes to show how much demand there is. Big tech companies can’t afford to slowdown buying chips in fears of competition, so those budgets will likely remain wide. TSMC’s balance sheet is also at a positive equity of $131.88B, and free cash flow is at $29B.
All the above makes TSMC a phenomenal business to invest into, but one must always make note of any threats. TSMC’s biggest customer is Apple, making up 25% of their total revenue. If Apple decides to move their chips in house, it threatens a big chunk of the company’s revenue (this happened to Intel and Qualcomm a few years ago when Apple went in-house). On the flip side, Nvidia contributes 11-12% of TSMC’s revenue, and is expected to surpass Apple in the coming years from demand, this could help balance things out.
Please note that this may take beyond this week to come around to price targets.
Micron Technology (MU)
Entry: Unlock
Price target: 81.00-83.00
Second PT: Unlock
Micron Technology plays a crucial role in the advancement of AI by providing the high-performance memory and storage solutions essential for training and running large models. As AI systems require vast amounts of data processing and storage capacity, innovations in DRAM, NAND, and high-bandwidth memory from companies like Micron directly impact the efficiency and scalability of AI applications. Micron's position in the semiconductor supply chain also makes it strategically important for both AI developers and investors, as it supports the infrastructure powering everything from data centers to edge computing. As AI continues to grow, so does the relevance of memory and storage technology, making Micron a key player in the ecosystem.
Early in 2024, the company started mass production of high-bandwidth memory semiconductors, which are used for Nvidia’s most advanced chips. The key part of this new technology is that it consumed 30% less energy than its top competitors, making it far more advanced in a world where efficiency is key. Micron sold out its entire supply upon release last year, and it reflected in their numbers.
The company grew its revenue by 61% in 2024, and has posted growth of 84% and 38% in Q1 and Q2 so far this year. Moreover, Micron’s net income grew significantly, reaching $1.87B in Q1 and $1.58B in Q2. They have been on a positive net income growth since Q2 of 2024. Looking at their balance sheet, Micron boasts of $48.63B in positive equity, but free cash flow is a bit weak at $606M, this could be because of their plans to build out more U.S. based manufacturing, which has been an initiative for them far before Trump’s new tariffs.
Please note that this may take beyond this week to come around to price targets.
iShares Bitcoin Trust (IBIT)
Entry: Unlock
Price target: 53.00-55.00
Second PT: Unlock
It’s been a little over a year since the debut of Bitcoin ETFs on the public market, and since then we saw Bitcoin and crypto markets reach for new highs; however a recent downturn in markets sent prices lower, possibly giving an opportunity for entry.
Investors with a higher appetite for risk should consider the IBIT trust to gain exposure to Bitcoin, as it tracks the prices of the popular cryptocurrency in real time. One must note that purchasing shares of IBIT does NOT mean you’re buying Bitcoin itself, so if you’re after decentralized investing then perhaps you should consider buying crypto through a crypto exchange and storing in on a cold wallet. This approach is for investors looking to expand their stock portfolio in creative ways.
While our general approach at Hyper Stocks is on the stock market, this crypto fund is attractive because of President Trump’s position on cryptocurrency. Whether it’s a political move to gain popular vote or not, crypto markets have proven resilient through many tests of time over the years, and they’re likely to bounce back when optimism returns.
Please note that this may take beyond this week to come around to price targets.
You've reached the end of our complimentary public watchlist. Unlock for the full list by becoming a member of our Hyper Stocks community. Click here for more information.
You've reached the end of our complimentary public watchlist. Unlock for the full list by becoming a member of our Hyper Stocks community. Click here for more information.
You've reached the end of our complimentary public watchlist. Unlock for the full list by becoming a member of our Hyper Stocks community. Click here for more information.
You've reached the end of our complimentary public watchlist. Unlock for the full list by becoming a member of our Hyper Stocks community. Click here for more information.
___________________________________
The stocks posted above are the preliminary stocks and set ups we’ll be watching this week. All price points are subject to change based on market performance and sector health. Please do your own research and analysis on these companies/charts before taking on any set ups. Trade at your own risk and as always, good luck!