The main supplier of chips to Apple Inc and Nvidia Corp saw its Taiwanese shares climb to a record high on Friday, a near 50% rise from an April low.

That has made it the first Asian stock worth more than US$1 trillion, since PetroChina Co briefly reached the milestone in 2007.

TSMC’s stock surge reflected growing investor confidence that the world’s top chipmaker will ride the AI boom to even greater dominance.

The company raised its full-year revenue growth forecast to about 30% last week, signaling TSMC may benefit in a tightening race for AI manufacturing capacity.

“We think that TSMC’s tone towards advanced node demand is even more positive with AI customers showing no signs of demand slowdown,” wrote Goldman Sachs Group Inc analysts, including Bruce Lu, after TSMC’s quarterly earnings.

“We expect to see a higher magnitude of price hike in 2026,” he added.

TSMC’s American depositary receipts were valued at around US$1.2 trillion as of the close on Friday.

Owning ADR shares have been more convenient for foreign investors as converting the Taipei-listed stock into the US equivalent needs regulatory approval.

Strong AI spending by TSMC’s customers and the upside of wafer prices will help mitigate the negative impact of a strong Taiwan dollar and help add resilience to the company’s gross margins, JPMorgan Chase & Co analysts including Gokul Hariharan wrote in a note late last week.