1. How to use GuruFocus - Tutorials
  2. What Is in the GuruFocus Premium Membership?
  3. A DIY Guide on How to Invest Using Guru Strategies
Holly LaFon
Holly LaFon
Articles (9279)  | Author's Website |

David Herro Comments on Taiwan Semiconductor Manufacturing Co

Guru stock highlight

January 09, 2019 | About:
The new addition, Taiwan Semiconductor Manufacturing Company (NYSE:TSM), controls over 50% of the semiconductor foundry market and commands an even greater share in technologies that require advanced process nodes. Foundry is a business with significant barriers to entry due to significant capital requirements, in-depth technological expertise and a customer-centric business model. Taiwan Semiconductor is one of only a few companies that possesses the attributes necessary to lead the industry for the long term. In addition, we think the company’s growth should outpace the overall semiconductor industry due to its greater exposure to quickly expanding end markets, a rapidly growing client base, continued outsourcing activity and impressive market share gains. Furthermore, for the past five years, Taiwan Semiconductor has returned 80% of its excess cash to shareholders through dividend payments. Finally, the company has recently boosted its free cash flow, which management will likely use to reward shareholders further.

From David Herro (Trades, Portfolio)'s Oakmark Global Fund fourth-quarter 2018 shareholder letter.

About the author:

Holly LaFon
I'm a financial journalist with a master of science in journalism from Medill at Northwestern University.

Visit Holly LaFon's Website


Rating: 5.0/5 (1 vote)

Voters:

Comments

Please leave your comment:


Performances of the stocks mentioned by Holly LaFon


User Generated Screeners


hanley.newsfeedtesting
ripollj67Value,Hi ROIC
paulyew2003USA 1
jbostwickBob_screen_2
DANGORDON1-13-19 PEG<1.5
DANGORDON1-13-19 LOW PE HIGH RET
DANGORDON*****EARNINGS YIELD JOEL
DANGORDONRESTAURANTS RATE OF RETURN
DANGORDONAEROSPACE DEF MEDICAL STOCK RE
DANGORDONHEALTH CARE MEDICAL STOCK RETU
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)

GF Chat

{{numOfNotice}}
FEEDBACK