Erste Group Bank Issues Pessimistic Outlook for TSM Earnings

Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) – Erste Group Bank reduced their FY2026 earnings per share estimates for shares of Taiwan Semiconductor Manufacturing in a report released on Thursday, June 25th. Erste Group Bank analyst H. Engel now anticipates that the semiconductor company will earn $15.74 per share for the year, down from their previous estimate of $15.76. The consensus estimate for Taiwan Semiconductor Manufacturing’s current full-year earnings is $15.35 per share.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last posted its quarterly earnings data on Tuesday, February 10th. The semiconductor company reported $3.11 EPS for the quarter. The firm had revenue of $30.65 billion for the quarter. Taiwan Semiconductor Manufacturing had a net margin of 46.97% and a return on equity of 36.81%.

Several other analysts also recently issued reports on the company. Needham & Company LLC raised their price target on Taiwan Semiconductor Manufacturing from $410.00 to $480.00 and gave the stock a “buy” rating in a report on Thursday, April 16th. Barclays lifted their target price on Taiwan Semiconductor Manufacturing from $450.00 to $470.00 and gave the stock an “overweight” rating in a report on Wednesday, April 22nd. Susquehanna boosted their target price on Taiwan Semiconductor Manufacturing from $500.00 to $575.00 and gave the stock a “positive” rating in a research report on Monday, June 22nd. Wall Street Zen upgraded shares of Taiwan Semiconductor Manufacturing from a “hold” rating to a “buy” rating in a report on Sunday, March 22nd. Finally, Zacks Research downgraded Taiwan Semiconductor Manufacturing from a “strong-buy” rating to a “hold” rating in a research note on Monday, March 16th. Two equities research analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat.com, Taiwan Semiconductor Manufacturing currently has an average rating of “Buy” and an average price target of $449.38.

Taiwan Semiconductor Manufacturing Stock Down 6.9%

TSM stock opened at $444.62 on Thursday. 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 has a 1-year low of $223.70 and a 1-year high of $479.00. The firm has a fifty day moving average price of $419.50 and a two-hundred day moving average price of $367.06. The firm has a market cap of $2.31 trillion, a price-to-earnings ratio of 36.99, a PEG ratio of 1.20 and a beta of 1.36.

Taiwan Semiconductor Manufacturing Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, October 8th. Investors of record on Wednesday, September 16th will be given a dividend of $1.1136 per share. This is a boost from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $0.95. The ex-dividend date is Wednesday, September 16th. This represents a $4.45 annualized dividend and a dividend yield of 1.0%. Taiwan Semiconductor Manufacturing’s dividend payout ratio is 29.20%.

Insider Activity

In other Taiwan Semiconductor Manufacturing news, VP Bor-Zen Tien purchased 1,000 shares of the firm’s stock in a transaction that occurred on Monday, June 29th. The shares were acquired at an average cost of $76.64 per share, for a total transaction of $76,640.00. Following the transaction, the vice president directly owned 12,051 shares in the company, valued at approximately $923,588.64. The trade was a 9.05% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available through this link. Also, VP Lipen Yuan purchased 1,000 shares of the business’s stock in a transaction that occurred on Monday, June 22nd. The stock was acquired at an average cost of $79.19 per share, with a total value of $79,190.00. Following the completion of the acquisition, the vice president directly owned 5,000 shares of the company’s stock, valued at $395,950. The trade was a 25.00% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. In the last quarter, insiders have bought 5,496 shares of company stock worth $404,567. Corporate insiders own 1.11% of the company’s stock.

Hedge Funds Weigh In On Taiwan Semiconductor Manufacturing

Large investors have recently modified their holdings of the stock. Eastern Bank grew its stake in shares of Taiwan Semiconductor Manufacturing by 51.3% during the second quarter. Eastern Bank now owns 5,913 shares of the semiconductor company’s stock valued at $2,824,000 after purchasing an additional 2,005 shares during the last quarter. Trust Co of the South raised its position in Taiwan Semiconductor Manufacturing by 1.4% in the 2nd quarter. Trust Co of the South now owns 8,008 shares of the semiconductor company’s stock worth $3,824,000 after purchasing an additional 114 shares during the last quarter. Global Wealth Strategies & Associates raised its position in Taiwan Semiconductor Manufacturing by 15,133.3% in the 2nd quarter. Global Wealth Strategies & Associates now owns 914 shares of the semiconductor company’s stock worth $436,000 after purchasing an additional 908 shares during the last quarter. VectorGlobal IAG Inc. acquired a new position in Taiwan Semiconductor Manufacturing during the 1st quarter worth $10,999,000. Finally, Hamilton Wealth LLC boosted its position in Taiwan Semiconductor Manufacturing by 0.8% in the 1st quarter. Hamilton Wealth LLC now owns 41,701 shares of the semiconductor company’s stock valued at $14,093,000 after buying an additional 341 shares during the last quarter. 16.51% of the stock is currently owned by institutional investors and hedge funds.

Key Taiwan Semiconductor Manufacturing News

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

• Positive Sentiment: Analysts at Erste Group Bank raised their FY2027 earnings estimate for TSMC, reinforcing confidence in the company’s longer-term profit growth and AI-driven demand outlook. Overclocking Qualcomm: Rewiring the AI Compute Market
• Positive Sentiment: Several recent market notes continue to frame TSMC as a key beneficiary of the AI capex boom, with articles highlighting its manufacturing expansion and strong position in advanced chip production. TSMC vs. NVIDIA: Which AI Semiconductor Stock Should You Buy in July?
• Positive Sentiment: News that TSMC is pushing development of panel-level CoPoS packaging for AI chips suggests it is investing in next-generation technology that could strengthen its competitive moat over time. TSMC targets 2029 for panel-level CoPoS packaging in AI chip push – DigiTimes
• Neutral Sentiment: TSMC vice president Bor-Zen Tien bought 1,000 shares, a modest insider confidence signal, but not a major near-term catalyst by itself. Taiwan Semiconductor Manufacturing (NYSE:TSM) VP Acquires $76,640.00 in Stock
• Neutral Sentiment: Erste Group also trimmed its FY2026 EPS estimate only slightly, which is not a major fundamental downgrade but does show some caution around near-term earnings expectations. Taiwan Semiconductor Manufacturing stock page
• Negative Sentiment: Asian chip stocks sold off broadly, and TSMC was caught up in that move as investors rotated out of semiconductor names ahead of U.S. jobs data. Asian stocks slide on chip sell-off as markets await US jobs data
• Negative Sentiment: One market note said TSMC fell more steeply than the broader market after a strong rally, pointing to profit taking and valuation concerns as a near-term headwind. TSMC (TSM) Falls More Steeply Than Broader Market: What Investors Need to Know

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.