Driven by the boom in AI chips, TSMC's share price has surged more than 80% over the past year. Foreign media argue that even though it is not cheap, it has not become too expensive to buy, and long-term investors can still look forward to another wave of gains.

• Demand for AI chips has yet to cool, and TSMC's profits continue to soar. Second-quarter revenue rose 36% year on year, while earnings per share jumped more than 77%.
• Cash flow is strong and the company's financial health is solid, with dividends more than doubling over the past three years.
• TSMC is forming a joint venture with Japan's Sony to jointly produce a new generation of image sensors. Beyond supplying the iPhone, they may also be used in physical AI products, with mass production expected in 2029.
• Its market value has already topped US$2 trillion, leaving some investors worried that it is too expensive. However, its estimated price-to-earnings ratio of about 25 times is below the past level of 36 times, and its five-year PEG is close to 1, so its valuation still looks reasonable given the pace of earnings growth.

Outlook: As long as global AI infrastructure keeps expanding and profits grow steadily, TSMC's share price still has a chance to reach new highs.