Taiwan Semiconductor Manufacturing (NYSE:TSM) Hits New 52-Week High – Time to Buy?

Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM)’s stock price reached a new 52-week high during mid-day trading on Wednesday . The company traded as high as $428.38 and last traded at $429.0380, with a volume of 2752919 shares. The stock had previously closed at $412.32.

Trending Headlines about Taiwan Semiconductor Manufacturing

Here are the key news stories impacting Taiwan Semiconductor Manufacturing this week:

• Positive Sentiment: TSMC is expected to raise prices on AI-related chips as demand remains very strong, which could support revenue and margins. TSMC, IBD Stock Of The Day, Flirts With Buy Point As Chip Giant Will Raise Prices Amid AI Demand
• Positive Sentiment: Nvidia’s plan to invest heavily in Taiwan and open a new headquarters reinforces Taiwan’s importance in the AI supply chain and highlights TSMC’s strategic position. Why Is TSMC Stock Rising In Premarket Today?
• Positive Sentiment: Rallying semiconductor peers such as Micron, Marvell, KLA, Lam Research, and Applied Materials suggest investors remain bullish on the broader AI chip cycle, which often lifts TSMC as the leading foundry. Why Is Marvell Technology (MRVL) Stock Rocketing Higher Today
• Positive Sentiment: TSMC’s latest dividend increase and upbeat commentary on its AI growth story may be adding to investor confidence in the stock’s cash generation and long-term outlook. What Investors Need to Know About TSMC’s Hefty 17% Dividend Increase
• Neutral Sentiment: Reports that TSMC continues to adjust portfolio and dividend-related filings appear routine and are unlikely to materially change the investment thesis. TSMC Reports April Portfolio Shift Toward Fixed-Income, Leaves Capital Structure Unchanged
• Negative Sentiment: Huawei’s claimed chipmaking breakthrough and plans to narrow the technology gap with TSMC remain a competitive overhang, though the threat is still longer term. Huawei Targets 1.4nm Chips by 2031 Amid China AI Push

Analyst Ratings Changes

TSM has been the subject of a number of recent research reports. Zacks Research lowered shares of Taiwan Semiconductor Manufacturing from a “strong-buy” rating to a “hold” rating in a report on Monday, March 16th. Barclays upped their price target on shares of Taiwan Semiconductor Manufacturing from $450.00 to $470.00 and gave the company an “overweight” rating in a research note on Wednesday, April 22nd. Wall Street Zen upgraded shares of Taiwan Semiconductor Manufacturing from a “hold” rating to a “buy” rating in a research report on Sunday, March 22nd. DA Davidson reissued a “buy” rating and issued a $450.00 price objective on shares of Taiwan Semiconductor Manufacturing in a research note on Friday, April 17th. Finally, Weiss Ratings upgraded shares of Taiwan Semiconductor Manufacturing from a “hold (c+)” rating to a “buy (b-)” rating in a report on Friday, March 20th. Two research analysts have rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and two have issued a Hold rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Buy” and an average target price of $404.29.

Taiwan Semiconductor Manufacturing Stock Performance

The company has a market capitalization of $2.17 trillion, a P/E ratio of 34.84, a P/E/G ratio of 1.18 and a beta of 1.39. The business has a 50-day moving average of $373.43 and a 200-day moving average of $340.12. The company has a debt-to-equity ratio of 0.16, a current ratio of 2.49 and a quick ratio of 2.31.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last posted its quarterly earnings data on Tuesday, February 10th. The semiconductor company reported $3.11 earnings per share for the quarter. Taiwan Semiconductor Manufacturing had a net margin of 46.97% and a return on equity of 36.81%. The business had revenue of $30.65 billion for the quarter. On average, sell-side analysts anticipate that Taiwan Semiconductor Manufacturing Company Ltd. will post 15.28 EPS for the current year.

Taiwan Semiconductor Manufacturing Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, October 8th. Investors of record on Wednesday, September 16th will be issued a dividend of $1.1136 per share. This represents a $4.45 annualized dividend and a yield of 1.1%. The ex-dividend date is Wednesday, September 16th. This is a positive change from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $0.95. Taiwan Semiconductor Manufacturing’s payout ratio is currently 24.96%.

Insider Transactions at Taiwan Semiconductor Manufacturing

In other Taiwan Semiconductor Manufacturing news, VP Tzu-Sou Chuang sold 200,000 shares of the business’s stock in a transaction that occurred on Tuesday, May 19th. The stock was sold at an average price of $69.83, for a total transaction of $13,966,000.00. Following the completion of the transaction, the vice president owned 2,495,165 shares in the company, valued at $174,237,371.95. The trade was a 7.42% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, VP Bor-Zen Tien bought 2,000 shares of the business’s stock in a transaction dated Tuesday, May 19th. The shares were acquired at an average cost of $69.91 per share, for a total transaction of $139,820.00. Following the purchase, the vice president owned 11,051 shares of the company’s stock, valued at approximately $772,575.41. The trade was a 22.10% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders purchased a total of 3,346 shares of company stock worth $218,005 over the last three months. 1.11% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Taiwan Semiconductor Manufacturing

Large investors have recently bought and sold shares of the business. Axiom Investment Management LLC purchased a new position in Taiwan Semiconductor Manufacturing in the 1st quarter worth about $509,000. WNY Asset Management LLC purchased a new stake in Taiwan Semiconductor Manufacturing in the 1st quarter valued at about $899,000. Segall Bryant & Hamill LLC boosted its position in Taiwan Semiconductor Manufacturing by 8.0% in the 1st quarter. Segall Bryant & Hamill LLC now owns 53,881 shares of the semiconductor company’s stock valued at $18,209,000 after buying an additional 4,000 shares during the period. Wellington Grp LLC grew its stake in Taiwan Semiconductor Manufacturing by 68.0% in the 1st quarter. Wellington Grp LLC now owns 556 shares of the semiconductor company’s stock worth $188,000 after acquiring an additional 225 shares in the last quarter. Finally, Verus Capital Partners LLC grew its stake in Taiwan Semiconductor Manufacturing by 82.6% in the 1st quarter. Verus Capital Partners LLC now owns 13,628 shares of the semiconductor company’s stock worth $4,606,000 after acquiring an additional 6,166 shares in the last quarter. Hedge funds and other institutional investors own 16.51% of the company’s stock.

Taiwan Semiconductor Manufacturing Company Profile

Taiwan Semiconductor Manufacturing Company (TSMC) is a leading pure-play semiconductor foundry that provides wafer fabrication and related services to the global semiconductor industry. Founded in 1987 by Morris Chang and headquartered in Hsinchu, Taiwan, TSMC manufactures integrated circuits on behalf of fabless and integrated device manufacturers, offering contract chip production across a broad set of technologies and products.

TSMC’s service offering covers logic and mixed-signal process technologies, specialty processes for radio-frequency, power management and embedded memory, and advanced nodes used in mobile, high-performance computing and AI applications.