A global semiconductor stock is so popular that 14 analysts have upgraded it in the past two weeks. It is Taiwan's TSMC, or Taiwan Semiconductor Manufacturing Company. Stock prices are soaring due to the artificial intelligence boom. It's up about 35% so far this year and 60% from a year ago. There is strong demand for advanced chips, especially those used in AI applications. TSMC is the world's largest manufacturer of advanced processors, and Nvidia relies on it to make its graphics processing units. Last month, the company announced better-than-expected first-quarter sales and profit results. This is thanks to strong demand for advanced chips, especially those used in AI applications. Based on CNBC Pro FactSet screens, 14 analysts have upgraded the stock over the past two weeks, while none have downgraded it. Those covering the stock say they are optimistic, especially considering demand for AI. “TSMC stock remains attractive as artificial intelligence-related demand continues to surprise us, limiting downside to auto and industrial markets,” said Morningstar equity analyst Felix Li. ” he said. He added that TSMC's “disciplined approach” to capital spending this year and likely in the coming years will reduce the risk of oversupply. The unexpected revenue was due to orders for AI servers being shipped faster than expected. ”[That illustrated] Dan Kim, senior investment analyst at Saturna Capital, said one risk investors tend to consider for these semiconductor stocks is U.S.-China trade restrictions, but he thinks that's an overstatement. He said he was thinking about it. “Every time there's news about trade restrictions between the US and China, semi-groups (including TSMC) are usually punished. In reality, the opposite is happening,” he told CNBC Pro. Without access to cutting-edge equipment, China must order more legacy equipment to keep up with the West. “We estimate that this ‘inefficiency’ is likely to further increase equipment demand by up to 10% over time. ” Kim added. When it comes to AI, Kim also said that a large-scale language model upgrade will require about a 100x upgrade in computing power every cycle. ChatGPT is currently in its fourth version and the world is moving towards GPT8, he noted, noting that TSMC has a 10% higher than the median price-to-earnings ratio (P/E) of 20.3 over the past five years. If TSMC's valuation returns to 20.3, it would be an “attractive setup to go long the stock,” according to FactSet, and TSMC has a 95% buy rating from analysts, he said. said. TSMC, which is also listed in the United States, has 16.3% upside potential based on the consensus price target of NT$932.98 ($28.74).