Missed Nvidia in 2009? This Rare Signal Is Flashing Again.\u00a0In 2009, a “Double Down” signal flashed for a little-known chipmaker called Nvidia.\u00a0For the first time in years, that same “Total Conviction” signal is flashing for a company 1\/100th the size of Nvidia.\u00a0Continue \u00bb<\/a> <\/p>\n As reported by Tom’s Hardware, TSMC is likely to increase the prices of its advanced chipmaking nodes by 5% to 10%. Several customers use these advanced nodes to produce chips deployed in artificial intelligence (AI) data centers, smartphones, PCs, and other applications. TSMC gets 74% of its total revenue from selling chips made using advanced process nodes, which are classified as 7-nanometer (nm) or smaller. <\/p>\n As advanced nodes account for a significant share of TSMC’s revenue, the purported price hikes will eventually lead to stronger profitability. The Taiwan-based company’s net profit margin increased by 7.4 percentage points year over year in Q1 to 50.5%. Given that the reported price increases are already being rolled out, TSMC’s margins could get fatter as the year progresses. <\/p>\n What’s worth noting is that analysts are projecting a 48% increase in the company’s earnings per share in 2026 to $15.80. However, TSMC reported a 65% increase in earnings per share in Q1 to $3.49. So, the higher pricing reportedly set to take effect is likely to help TSMC deliver stronger earnings growth than the market expects. <\/p>\n A stronger-than-expected earnings jump could help the stock deliver more gains this year <\/p>\n TSMC stock has gained 39% in 2026, as of this writing. Given that the company seems well-placed to beat analysts’ earnings expectations this year due to its strong pricing power and the rapid growth of the AI chip market, further upside in the stock price cannot be ruled out. <\/p>\n Let’s assume TSMC’s earnings per share jump by 60% this year (almost in line with its Q1 year-over-year earnings growth) to $17.04, from $10.65 per share in 2025, and it trades at 30 times earnings (a discount to the tech-laden Nasdaq Composite index’s average earnings multiple of 39), its stock price could reach $511. That implies a potential jump of 15% in this AI stock<\/a> in the second half of 2026. <\/p>\n However, TSMC’s ability to deliver above-average earnings growth could be rewarded with a premium valuation, suggesting it could deliver much stronger gains than anticipated. <\/p>\n Should you buy stock in Taiwan Semiconductor Manufacturing right now? <\/p>\n Before you buy stock in Taiwan Semiconductor Manufacturing, consider this: <\/p>\n The Motley Fool Stock Advisor analyst team just identified what they believe are the\u00a010 best stocks<\/a> for investors to buy now\u2026 and Taiwan Semiconductor Manufacturing wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. <\/p>\n Consider when Netflix made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation,\u00a0you’d have $418,761!* Or when Nvidia made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you’d have $1,195,804!* <\/p>\n Now, it’s worth noting\u00a0Stock Advisor’s total average return is 918% \u2014 a market-crushing outperformance compared to 208% for the S&P 500.\u00a0Don’t miss the latest top 10 list, available with\u00a0Stock Advisor, and join an investing community built by individual investors for individual investors. <\/p>\n See the 10 stocks \u00bb<\/a> <\/p>\n *Stock Advisor returns as of July 3, 2026. <\/p>\n Harsh Chauhan<\/a> has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Taiwan Semiconductor Manufacturing. The Motley Fool has a disclosure policy<\/a>. <\/p>\n<\/a> Image source: TSMC. TSMC is reportedly raising the price of all its advanced manufacturing nodes <\/p>\n