Taiwan Semiconductor Manufacturing Co TSM has multiple reasons to celebrate; the latest is China’s comment on its technology moat.

National Science and Technology Council (NSTC) Minister Wu Cheng-wen said China lags behind Taiwan Semiconductor’s advanced technology semiconductor manufacturing by at least a decade, the Taipei Times cites from a Legislative Yuan Education and Culture Committee meeting Monday.

Cheng-wen credited the Taiwanese contract chipmaker’s lead to its progress to 2 nanometers.

Also Read: Synopsys Partners With Taiwan Semi To Power Next-Gen AI Chip Innovations

Prior reports indicated Taiwan’s three-year lead over China in chip manufacturing. Taiwan Semiconductor plans to commercialize 2-nm chips by 2025.

Chinese tech industry barometer Alibaba Group Holding BABA has maintained Nvidia Corp’s NVDA lead over domestic technology and recently collaborated with the U.S. chip designer.

Recent reports indicated that China urged its firms to tap domestic artificial intelligence (AI) chips from companies like Cambricon Technologies Corp and Huawei Technologies Co instead of Nvidia. China’s move marks retaliation against the U.S.’s advanced semiconductor embargo on the Asian counterpart, citing national security concerns.

Meanwhile, Taiwan Semiconductor continues to score wins as a critical supplier to Nvidia and Apple Inc AAPL. Hyperscalars from Microsoft Corp MSFT remain invested in their AI ambitions, signaling higher demand for Nvidia chips. The smartphone industry is also likely to recover, further helped by the integration of AI features.

Will Taiwan Semiconductor Stock Go Up?

When trying to assess whether or not Taiwan Semiconductor will trade higher from current levels, it’s a good idea to take a look at analyst forecasts.

Wall Street analysts have an average 12-month price target of $234.0 on Taiwan Semiconductor. The Street high target is currently at $250.0 and the Street low target is $210.0. Of all the analysts covering Taiwan Semiconductor, 5 have positive ratings, no one has neutral ratings and no one has negative ratings.

In the last month, no analysts have adjusted price targets. Here’s a look at recent price target changes [Analyst Ratings]. Benzinga also tracks Wall Street’s most accurate analysts. Check out how analysts covering Taiwan Semiconductor have performed in recent history.

Stocks don’t move in a straight line. The average stock market return is approximately 10% per year. Taiwan Semiconductor is 71.05% up year-to-date. The average analyst price target suggests the stock could have further upside ahead.

For a broad overview of everything you need to know about Taiwan Semiconductor, visit here. If you want to go above and beyond, there’s no better tool to help you do just that than Benzinga Pro. Start your free trial today.

Price Action: TSM stock is up 0.93% at $175.28 premarket at last check Tuesday.

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