Shares of Taiwan Semiconductor Manufacturing (NYSE: TSM) -- otherwise known as TSMC -- dipped 5% last week after reporting a revenue decline and margin compression for the second quarter of 2023. The leading producer of computer chips worldwide is seeing demand wane after the chip supply shortages of 2021 turned into a glut.

Investors have bid up computer chip stocks such as TSMC this year on the back of the artificial intelligence (AI) boom, which requires an immense amount of computing power to train and run. The iShares Semiconductor ETF is up 47.5% in 2023, outpacing the S&P 500's (still impressive) return of 19%.  

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Source Fool.com