Taiwan Semiconductor Manufacturing (NYSE:TSM) Shares Up 1.8% – Time to Buy?

Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) shot up 1.8% during mid-day trading on Thursday . The company traded as high as $448.01 and last traded at $444.5630. 10,801,274 shares were traded during mid-day trading, a decline of 21% from the average session volume of 13,745,166 shares. The stock had previously closed at $436.69.

Key Taiwan Semiconductor Manufacturing News

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

• Positive Sentiment: TSMC is being praised as a top AI stock because rising demand, a stronger 2026 outlook, and ongoing capacity expansion support earnings growth. Why TSMC Is a Better AI Stock to Hold Right Now Than Broadcom
• Positive Sentiment: CEO C.C. Wei’s comments about robust AI demand and the possibility of higher chip prices reinforced the company’s long-term growth narrative. TSMC CEO Issues Stark AI Supply Warning — Wedbush Sees Big Opportunity
• Positive Sentiment: Brokerage coverage remains favorable, with TSMC receiving an average “Buy” rating, underscoring Wall Street confidence in the stock. Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) Given Average Rating of “Buy” by Brokerages
• Positive Sentiment: Investors continue to focus on TSMC’s central role in the AI compute supply chain, which helps support the stock’s premium valuation. Taiwan Semiconductor Manufacturing (TSM) Sits at the Absolute Center of the AI Compute Supply Chain
• Neutral Sentiment: TSMC is attracting heavy investor attention, which reflects elevated interest but does not by itself change the fundamentals. Taiwan Semiconductor Manufacturing Company Ltd. (TSM) is Attracting Investor Attention: Here is What You Should Know
• Neutral Sentiment: Shareholders approved 2025 results and charter changes at the annual meeting, a routine governance update with limited near-term stock impact. TSMC Shareholders Approve 2025 Results and Charter Changes at June 4 Meeting
• Negative Sentiment: Some traders are selling on warnings that AI chip supply shortages may persist for years, raising concerns about production bottlenecks, cost pressure, and the pace of revenue conversion. TSMC Stock Price Drops as CEO Warns Chip Supply Struggles to Meet AI Demand

Wall Street Analysts Forecast Growth

A number of brokerages have recently weighed in on TSM. Wedbush reissued an “outperform” rating on shares of Taiwan Semiconductor Manufacturing in a report on Wednesday, February 11th. Wall Street Zen raised Taiwan Semiconductor Manufacturing from a “hold” rating to a “buy” rating in a research report on Sunday, March 22nd. Needham & Company LLC boosted their price target on Taiwan Semiconductor Manufacturing from $410.00 to $480.00 and gave the company a “buy” rating in a research note on Thursday, April 16th. Zacks Research lowered Taiwan Semiconductor Manufacturing from a “strong-buy” rating to a “hold” rating in a report on Monday, March 16th. Finally, Barclays raised their price objective on Taiwan Semiconductor Manufacturing from $450.00 to $470.00 and gave the stock an “overweight” rating in a research note on Wednesday, April 22nd. Two research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating and two have given a Hold rating to the stock. Based on data from MarketBeat.com, Taiwan Semiconductor Manufacturing presently has an average rating of “Buy” and a consensus target price of $404.29.

Taiwan Semiconductor Manufacturing Stock Performance

The firm has a fifty day moving average of $387.89 and a 200 day moving average of $347.72. The company has a debt-to-equity ratio of 0.16, a current ratio of 2.49 and a quick ratio of 2.31. The stock has a market capitalization of $2.16 trillion, a price-to-earnings ratio of 34.58, a price-to-earnings-growth ratio of 1.30 and a beta of 1.38.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last announced its quarterly earnings results on Tuesday, February 10th. The semiconductor company reported $3.11 earnings per share (EPS) for the quarter. The company had revenue of $30.65 billion during the quarter. Taiwan Semiconductor Manufacturing had a return on equity of 36.81% and a net margin of 46.97%. On average, sell-side analysts anticipate that Taiwan Semiconductor Manufacturing Company Ltd. will post 15.29 earnings per share for the current fiscal 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 dividend on an annualized basis and a yield of 1.1%. This is a boost from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $0.95. The ex-dividend date of this dividend is Wednesday, September 16th. Taiwan Semiconductor Manufacturing’s payout ratio is currently 24.71%.

Insider Buying and Selling at Taiwan Semiconductor Manufacturing

In other news, VP Tzu-Sou Chuang sold 200,000 shares of the stock in a transaction dated Tuesday, May 19th. The shares were sold at an average price of $69.83, for a total transaction of $13,966,000.00. Following the sale, the vice president directly owned 2,495,165 shares of the company’s stock, valued at $174,237,371.95. This represents a 7.42% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, VP Bor-Zen Tien bought 2,000 shares of the company’s stock in a transaction dated Tuesday, May 19th. The shares were acquired at an average price of $69.91 per share, for a total transaction of $139,820.00. Following the completion of the transaction, the vice president directly owned 11,051 shares in the company, valued at approximately $772,575.41. This trade represents a 22.10% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. In the last 90 days, insiders have purchased 3,346 shares of company stock worth $218,005. 1.11% of the stock is owned by company insiders.

Hedge Funds Weigh In On Taiwan Semiconductor Manufacturing

A number of hedge funds have recently bought and sold shares of the business. Tiger Global Management LLC increased its holdings in Taiwan Semiconductor Manufacturing by 49.4% in the 1st quarter. Tiger Global Management LLC now owns 5,565,074 shares of the semiconductor company’s stock worth $1,880,717,000 after acquiring an additional 1,839,600 shares in the last quarter. Van ECK Associates Corp grew its position in shares of Taiwan Semiconductor Manufacturing by 11.1% in the fourth quarter. Van ECK Associates Corp now owns 17,464,962 shares of the semiconductor company’s stock valued at $5,307,428,000 after purchasing an additional 1,750,824 shares during the period. Life Cycle Investment Partners Ltd purchased a new stake in shares of Taiwan Semiconductor Manufacturing during the fourth quarter worth about $495,163,000. T. Rowe Price Investment Management Inc. raised its position in shares of Taiwan Semiconductor Manufacturing by 168.6% during the 4th quarter. T. Rowe Price Investment Management Inc. now owns 2,093,115 shares of the semiconductor company’s stock worth $636,077,000 after purchasing an additional 1,313,917 shares during the last quarter. Finally, SurgoCap Partners LP acquired a new position in shares of Taiwan Semiconductor Manufacturing during the 3rd quarter worth about $360,443,000. Hedge funds and other institutional investors own 16.51% of the company’s stock.

About Taiwan Semiconductor Manufacturing

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.