tsmc sees boost amid msci rebalance and ai surge
Taipei, Wednesday, 27 August 2025.
tsmc’s stock experienced a notable increase, closing at NT$1,175, marking a NT$5 rise. This surge occurred as the msci quarterly adjustment took effect. The trading activity intensified significantly with 16,200 lots traded in the final order. Experts predict a continued bullish trend. Nvidia’s financial results could propel further gains for tsmc and other ai-related stocks. The ai sector’s robust demand is expected to be a key driver for tsmc’s future performance.
msci adjustment impact
The msci quarterly adjustment taking effect led to significant trading activity in tsmc shares [1]. The final order saw a surge of 16,200 lots traded [1]. This adjustment coincided with a decrease in the weighting of Taiwan stocks in the msci Emerging Markets Index from 19.45% to 19.40%, a reduction of 0.05% [3][4]. The msci Asia ex Japan Index also saw a decrease from 21.97% to 21.89%, down by 0.08% [3][4]. Despite these adjustments, tsmc’s stock demonstrated resilience, supported by strong ai demand [1].
ai demand and nvidia’s influence
The robust demand for ai technology, particularly driven by companies like Nvidia, is a crucial factor influencing tsmc’s stock performance [1][3]. Nvidia’s unveiling of its new robot computing platform, Jetson Thor, has boosted investor confidence [2][4]. This new platform boasts a 7.5 times increase in computing performance and a 3.5 times increase in energy efficiency compared to the previous generation Orin, potentially advancing robotics and edge ai applications [4]. Positive financial reports from Nvidia are expected to further fuel gains for tsmc and other related ai concept stocks [1].
intel’s challenges and tsmc’s opportunity
Intel’s recent challenges in chip manufacturing indirectly benefit tsmc, as demand for tsmc’s services increases [1]. The u.s. government’s confirmed investment in Intel led to a 1.01% fall in Intel’s stock [4]. Intel’s sec filings indicate that the deal might lead to sales declines and trigger backlash from other countries, partners, and employees [2]. Despite these challenges, tsmc’s chairman stated that the u.s. government has announced they will not acquire tsmc shares [1]. This clarification provides some stability amid geopolitical concerns [alert! ‘geopolitical situation could change’].
market analyst perspectives
Cathay securities analyst, Cai Minghan, suggests the ai trend remains strong [1]. Wei Mingyu, an analyst at Ray Source Investment Consultant, believes the strong multiple inertia has not changed, and tsmc will continue to challenge its historical high [1]. One market analyst noted tsmc’s strategic position in the semiconductor supply chain makes it a key player in the ai boom [1]. Cathay site’s 00922 etf is scheduled to increase its tsmc weight on august 27, potentially driving further investment [3].