(Bloomberg) -- Taiwan Semiconductor Manufacturing Co. regained its $500 billion market capitalization as investors ramp up bets on a bottom in the chip market. Excitement in the artificial intelligence space has also helped a rally in tech shares.

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Asia’s most valuable company reached that milestone on Tuesday, ending the session with a market value of NT$15.4 trillion ($501.3 billion). A 32% gain this year has placed TSMC among the world’s 10 biggest companies by market capitalization after overtaking Visa Inc. in late May.

Morgan Stanley earlier this week raised the company’s price target, citing higher demand for energy-efficient and low-cost AI custom chip designs.

--With assistance from Ishika Mookerjee.

(Adds table, updates with closing prices.)

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