Taiwan Semiconductor Manufacturing Company Limited

“TSMC is the irreplaceable chokepoint of the global semiconductor supply chain — a near-monopolist at leading-edge nodes with a widening moat, expanding margins (58% operating), a net-cash balance sheet, and a decade-long AI/HPC reinvestment runway. The 21.9x forward P/E is fair but not cheap for a business of this quality, and the sole path to permanent capital impairment is a cross-strait military conflict rather than any competitive or operational failure. Long-term investors should own TSMC at a moderate, sized-for-geopolitical-risk allocation and add on weakness.”