TSMC is criminally undervalued in regards to its associates in AMD, Nvidia, Google, Broadcom and literally every other tech company which is 100% reliant on their ability to fab chips. The entirety of the AI race is not dependent on Nvidia or AMDs ability to design the best AI chip. Its dependent on TSMCs ability to fabricate them.
In this inflationary speculative environment AMD, Nvidia, Broadcom, are all given premium valuations with 40-120x pe and can still be considered fair value. TSMC is sitting at a "healthy" tech sector pe of anywhere around 28-30 day to day. They have a PEG of around 1, far better than AMD and is instep with NVIDA, and have operating margins on par with NVIDIA as well at 50%. Their revenues, margins, growth is exemplary and honestly criminally undervalued in such a inflationary AI environment.
Are there any other reasons besides hostilities from China why TSMC hasnt gone side by side with Nvidia in growth? I'm No analyst and really am your every day idiot retail investor who absolutely fucking loves to by high sell low. But can anyone give me a clean argument as of why TSMC is more conservatively priced in comparison to all of the other AI stocks with insane valuations?