TSMC's critical role in AI chips could power stock higher despite overbought levels
- TSMC's stock has surged to very overbought levels, but its critical role in AI suggests the rally could continue
- TSMC's chips power some of the most advanced AI processors
- Confidence in the value of AI is seen as justifying further gains for TSMC
- Exponential growth in use of generative AI could drive the next re-rating for TSMC
- TSMC is scheduled to report monthly sales on Friday