Shares of the world's largest semiconductor foundry, Taiwan Semiconductor Manufacturing (NYSE: TSM), were rising on Monday, up 4.1% in the day's trading.

While the overall technology sector, especially semiconductors, had a strong performance today, TSMC was particularly strong, perhaps owing to news from last week's annual shareholder meaning, the opening of a new advanced packaging facility, and continued optimism over demand for leading-edge AI chips.

Last week at its annual meeting, TSMC management lowered its revenue expectations to a slight 1% to 6% decline in 2023. However, management also noted very strong demand for artificial intelligence (AI)-related chips, and especially tight capacity for advanced packaging needed for 3D-stacked CPU-GPU AI chipsets.

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Source Fool.com