TLDR
- Jim Cramer expects Taiwan Semiconductor to deliver positive earnings results when the company reports Thursday morning
- Bank of America Securities maintains a Buy rating on TSM with a $330 price target as of October 7
- The analyst raised EPS estimates for 2026 and 2027 based on improved pricing outlook
- TSM’s September 2025 revenue hit NT$330.98 billion, up 31.4% year-over-year but down 1.4% from August
- Revenue for January through September 2025 reached NT$2,762.96 billion, marking a 36.4% increase year-over-year
Jim Cramer is setting his alarm clock early this week. The Mad Money host plans to wake up at 2:30 AM Thursday morning to catch Taiwan Semiconductor’s earnings report.
“I expect a very rosy picture,” Cramer said on his show. He pointed out that TSM manufactures chips for AMD and NVIDIA, among many others.
The timing isn’t surprising given TSM’s recent performance. September revenue came in at NT$330.98 billion, up 31.4% compared to September 2024.
That’s real growth, even if the month-over-month numbers tell a different story. Revenue fell 1.4% from August to September 2025.
The bigger picture looks strong. From January through September 2025, TSM pulled in NT$2,762.96 billion in revenue. That represents a 36.4% jump year-over-year.
Wall Street analysts are taking notice. Bank of America Securities analyst Robert Cheng maintained his Buy rating on October 7. He set a price objective of $330 per share.
Analyst Raises Future Earnings Estimates
Cheng didn’t just stick with his rating. He actually increased his EPS estimates for both 2026 and 2027.
The reason? An improved pricing outlook for the chipmaker’s products.
TSM’s 2nm technology is expected to ramp up production in 2026. That’s the next generation of chip manufacturing, and it comes with higher price tags.
The company is also expanding its manufacturing footprint overseas. More US production means higher average selling prices due to the production location and advanced processes being used.
Strong Positioning in AI Chip Market
Brown Advisory highlighted TSM’s competitive position in its Q2 2025 investor letter. The investment management firm pointed to the company’s leadership in leading node manufacturing.
This leadership allows TSM to capture market share. The demand environment for high-performance computing and AI infrastructure remains strong.
TSM doesn’t just make chips for one or two companies. Its client list includes major players across the semiconductor industry.
The fabrication and related services cover integrated circuits, silicon wafers, diodes and other semiconductor components. It’s a comprehensive operation that’s hard for competitors to replicate.
Bank of America’s price target of $330 represents potential upside from current trading levels. The analyst’s confidence stems from multiple factors working in TSM’s favor.
Higher average selling prices, overseas expansion, and the 2nm technology ramp-up all contribute to the bullish outlook. The raised EPS estimates for 2026 and 2027 reflect these tailwinds.
Thursday’s earnings report will give investors their first look at how the third quarter shaped up. Cramer’s early morning wake-up call suggests he thinks it’ll be worth losing sleep over.
