Berkshire Hathaway's disclosure in SEC filings that it had acquired a substantial share in the Taiwanese semiconductor manufacturer has prompted aftermarket prices for the company, which is well-known for its cautious investment philosophy and often avoids technology stocks.
TSMC, which has recently emerged as one of the world's largest suppliers, has recently grown to be one of the most significant nations. Apple is its largest client, and the company's reliance on it has only grown over time, particularly after Apple introduced its own notebook processor line. However, even before that, the company had switched from a dual sourcing strategy, in which it bought some of its chips from Samsung.
Apple is the most well-known investment from Berkshire Hathaway, with a staggering $123 billion stake, according to its most recent SEC filing. TSMC, the newest member of the portfolio, has received a staggering $4.1 billion from Warren Buffett's illustrious investment house.
TSMC's market value is now $359 billion, and the company's stock price has increased by about 6% following Berkshire Hathaway's most recent 13-F report to the Securities and Exchange Commission (SEC) following the market closing yesterday. Aftermarket trading saw the shares close at $77 following nearly two months of stock market losses.
TSMC was forced to reduce capital expenditures in the most recent quarter of this year due to a decline in order volume and equipment deliveries, which caused the company to have to work extremely hard to meet demand from the automobile industry.
TSMC is one of the few businesses in the world that is capable of fabricating semiconductors using cutting-edge 3-nanometer chip fabrication technology. The economic stability of the company is crucial for the growth of the global industry.