On September 24th, Morgan Stanley research report pointed out that Taiwan Semiconductor Manufacturing Company (TSMC) is expanding its 2-nanometer and 3-nanometer chip and CoWos advanced packaging capabilities rapidly to meet the strong demand for artificial intelligence semiconductors. The company's next year capital expenditure forecast has been raised from $35 billion to $38 billion, with expected monthly CoWos production capacity to rise to 0.08 million pieces. Morgan Stanley mentioned that although the company has not provided formal guidance, during a recent brokerage conference, management mentioned that the company may be able to sustain a compound annual growth rate of between 15% and 20% over the next 5 years in terms of revenue growth. They believe that this committed long-term growth coupled with gross margin expansion makes the company's valuation far more attractive than other Asian semiconductor companies. The brokerage firm raised the group's earnings forecasts for next year and 2026 by 4% and 5% respectively, with the target price raised from 1,220 **** dollars to 1,280 **** dollars, reiterating a 'shareholding' rating as their top pick in the industry, bullish on the company's quality and defensive nature in the extended semiconductor downturn cycle.