Why Taiwan Semiconductor Stock Was Moving Higher Today

Shares of Taiwan Semiconductor Manufacturing (TSM) saw a significant rise, up by 4.9% midday, following a robust sales report for April. The company's revenue surged by 59.6% year-over-year to $7.3 billion, indicating a strong start to Q2 and a rebound in chip demand, particularly for advanced AI chips.

Despite not being featured in The Motley Fool's top 10 stock picks, TSMC's role in the AI boom remains crucial, manufacturing around 90% of advanced chips for major fabless chip designers. This performance hints at a promising outlook for TSMC if it maintains its current growth trajectory.