Taiwan Semiconductor Manufacturing (NYSE:TSM) Shares Climb 1.4% – Should You Buy?

Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) shot up 1.4% during trading on Monday. The stock traded as high as $428.85 and last traded at $424.3310. Approximately 9,498,235 shares traded hands during mid-day trading, a decline of 27% from the average session volume of 13,053,974 shares. The stock had previously closed at $418.51.

Wall Street Analyst Weigh In

TSM has been the subject of several recent analyst reports. DA Davidson reaffirmed a “buy” rating and issued a $500.00 target price on shares of Taiwan Semiconductor Manufacturing in a report on Friday, October 16th. Sanford C. Bernstein raised their target price on shares of Taiwan Semiconductor Manufacturing from $430.00 to $554.00 and gave the stock an “outperform” rating in a report on Tuesday, August 11th. Susquehanna lifted their price target on shares of Taiwan Semiconductor Manufacturing from $575.00 to $600.00 and gave the company a “positive” rating in a research note on Thursday, July 16th. Zacks Research raised Taiwan Semiconductor Manufacturing from a “hold” rating to a “strong-buy” rating in a research report on Thursday, July 16th. Finally, TD Cowen boosted their target price on Taiwan Semiconductor Manufacturing from $400.00 to $440.00 and gave the stock a “hold” rating in a research note on Friday, July 17th. Three research analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating and one has given a Hold rating to the company’s stock. According to data from MarketBeat.com, the company currently has an average rating of “Buy” and a consensus target price of $528.78.

Taiwan Semiconductor Manufacturing Stock Up 1.4%

The business’s 50 day moving average price is $434.30 and its 200 day moving average price is $420.70. The firm has a market cap of $2.20 trillion, a price-to-earnings ratio of 27.31, a PEG ratio of 0.85 and a beta of 1.37. The company has a debt-to-equity ratio of 0.14, a quick ratio of 2.25 and a current ratio of 2.46.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last posted its earnings results on Tuesday, September 8th. The semiconductor company reported $4.62 EPS for the quarter. Taiwan Semiconductor Manufacturing had a return on equity of 42.84% and a net margin of 51.51%. The firm had revenue of $46.87 billion for the quarter. On average, equities analysts forecast that Taiwan Semiconductor Manufacturing Company Ltd. will post 17.07 EPS for the current year.

Taiwan Semiconductor Manufacturing Cuts Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, January 7th. Stockholders of record on Thursday, December 10th will be paid a dividend of $1.0854 per share. This is a decrease from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $1.1136. This represents a $4.34 dividend on an annualized basis and a dividend yield of 1.0%. The ex-dividend date of this dividend is Thursday, December 10th. Taiwan Semiconductor Manufacturing’s dividend payout ratio is presently 22.27%.

Insider Buying and Selling

In other news, VP Lipen Yuan bought 1,000 shares of the firm’s stock in a transaction dated Tuesday, August 18th. The shares were acquired at an average price of $74.50 per share, for a total transaction of $74,500.00. Following the completion of the transaction, the vice president directly owned 6,000 shares in the company, valued at $447,000. The trade was a 20.00% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, VP Bor-Zen Tien bought 1,000 shares of the stock in a transaction on Monday, August 3rd. The shares were acquired at an average cost of $73.06 per share, for a total transaction of $73,060.00. Following the purchase, the vice president owned 14,051 shares in the company, valued at $1,026,566.06. The trade was a 7.66% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Insiders have acquired 8,043 shares of company stock valued at $598,956 in the last three months. Insiders own 1.11% of the company’s stock.

Institutional Trading of Taiwan Semiconductor Manufacturing

A number of hedge funds and other institutional investors have recently modified their holdings of TSM. Cooper Financial Group increased its stake in Taiwan Semiconductor Manufacturing by 0.3% in the 3rd quarter. Cooper Financial Group now owns 6,313 shares of the semiconductor company’s stock worth $2,880,000 after acquiring an additional 22 shares during the last quarter. Dickmeyer Boyce Financial Management Inc. increased its position in shares of Taiwan Semiconductor Manufacturing by 0.7% in the third quarter. Dickmeyer Boyce Financial Management Inc. now owns 3,459 shares of the semiconductor company’s stock worth $1,578,000 after purchasing an additional 23 shares during the last quarter. Plan A Wealth LLC raised its stake in Taiwan Semiconductor Manufacturing by 0.9% in the third quarter. Plan A Wealth LLC now owns 2,735 shares of the semiconductor company’s stock valued at $1,248,000 after purchasing an additional 24 shares in the last quarter. Twin City Private Wealth LLC lifted its position in Taiwan Semiconductor Manufacturing by 0.3% during the first quarter. Twin City Private Wealth LLC now owns 7,315 shares of the semiconductor company’s stock valued at $2,479,000 after purchasing an additional 25 shares during the last quarter. Finally, Graves Light Lenhart Wealth Inc. grew its stake in Taiwan Semiconductor Manufacturing by 3.4% in the 2nd quarter. Graves Light Lenhart Wealth Inc. now owns 752 shares of the semiconductor company’s stock worth $359,000 after buying an additional 25 shares in the last quarter. 16.51% of the stock is owned by institutional investors and hedge funds.

Taiwan Semiconductor Manufacturing Company Profile

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM), commonly known as TSMC, is a dedicated semiconductor foundry headquartered in Hsinchu, Taiwan. The company manufactures integrated circuits for customers that design their own chips, allowing semiconductor, electronics, and technology companies to outsource production rather than operate their own fabrication facilities.

TSMC provides wafer fabrication services across a broad range of process technologies, including advanced nodes used in high-performance computing, smartphones, automotive systems, and artificial intelligence applications.