NVDA is now on top of the world, cannot be higher indeed. But TSM is said to be the next NVDA. Now both NVDA and TSM just broken record high, so when investor want to buy, it should be TSM rather than NVDA.
First of all, please do not look down upon the technology in the island of Taiwan. Besides US no other G7 countries can have an enterprise listed among the top 10 capitalization of the world. Please refer to the table of yesterday. Not even this, the largest population of the world that is India has 1.4 billion and China has 1.3 billion, still cannot listed amount them. Since 1979, US has sold weapons to Taiwan for 129 times up to US$1.4 billion, every time China expressed strong objection, but still continues till now. Some people said US is protecting TSM rather than Taiwan.
Besides Arizona, TSM also has factories in Germany and Japan to disperse the risk in Taiwan. It occupies 90% of the manufacturing of advanced chips. Mind that for advanced weapons of US, they seldom changed the hardware, but always upgrade the software that is semiconductor. During the initial stage of Ukrainian war, Joe Biden said it was almost impossible to intercept the supersonic missile (Dagger) of Russia. But in practical war, all supersonic missiles were shot down by PATRIOT anti-missile even Dagger has an irregular path of sometimes left, sometimes right; sometimes up and sometimes down. Very simple, Biden forgot the chips are upgrading every now and then. For the recent Midnight Hammer Operation in Iran, some people doubted B2 and GBU-57 were planned 15 years ago, is it suitable for today? They also forgot the software are upgrading incessantly.
One thing to mind is that TSM is a game changer. Normally, for IT people they have to send to US for training first. But for Arizona plant, all engineers must sent to Taiwan for training before taking up their job. They are surprised that TSM runs on a 24-hour basis in 3 shifts. Worker unions in US has very great power and only will work from 9 to 5 only. So what should they do? Trump already signed an executive order that all overtime working wages are free from tax so as to encourage people to learn from spirit of TSM. This may become a trend. No matter holding TSM or NVDA, the target should be placed upon Landing on Mars in 2029/2030 and not just the current V-shape rebound.