Taiwan Semiconductor Manufacturing (NYSE:TSM) Shares Down 4.4% – Time to Sell?

Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM)’s share price fell 4.4% during mid-day trading on Friday . The stock traded as low as $336.69 and last traded at $338.27. 13,665,834 shares were traded during trading, a decline of 3% from the average session volume of 14,036,720 shares. The stock had previously closed at $353.86.

More Taiwan Semiconductor Manufacturing News

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

• Positive Sentiment: TSMC is accelerating construction of a large “mega fab” in southern Taiwan to add AI-focused capacity, signaling management expects sustained demand for advanced nodes and positioning TSM for long‑term revenue growth. TSMC Speeds Southern Taiwan Mega Fab
• Positive Sentiment: Broadcom locked in HBM and foundry capacity through 2028, implying multi‑year wafer/bookings for TSMC (a committed customer is more revenue visibility and less near‑term booking risk). This strengthens the narrative of sticky AI demand. Broadcom Locks Key AI Chip Supply Through 2028
• Neutral Sentiment: Nvidia has stopped production of China‑destined H200 chips and reallocated TSMC capacity toward its next‑generation Vera Rubin hardware. That move keeps demand at TSMC but shifts which products/markets drive near‑term volumes — leaving some short‑term uncertainty about node mix and customer concentration. Nvidia refocuses TSMC capacity
• Neutral Sentiment: Institutional flows: coverage of billionaire managers trimming positions in names like Meta and rotating into other AI plays is broader market color on AI positioning, not TSMC‑specific, but it can affect sector momentum and share‑price volatility. 7 Preeminent Billionaire Money Managers Dumped Shares of Meta
• Neutral Sentiment: Analyst/market wrap: recent coverage noting TSMC outperformed peers in the latest session and remains valued on strong margins and ROE — a reminder that fundamentals are solid even as near‑term headlines drive volatility. TSMC (TSM) Exceeds Market Returns

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on the stock. Freedom Capital raised shares of Taiwan Semiconductor Manufacturing to a “strong-buy” rating in a research note on Thursday, January 15th. Needham & Company LLC boosted their price target on shares of Taiwan Semiconductor Manufacturing from $360.00 to $410.00 and gave the stock a “buy” rating in a research note on Thursday, January 15th. Barclays increased their price objective on shares of Taiwan Semiconductor Manufacturing from $380.00 to $450.00 and gave the company an “overweight” rating in a report on Friday, January 16th. Citigroup restated a “buy” rating on shares of Taiwan Semiconductor Manufacturing in a research report on Friday, January 9th. Finally, TD Cowen lifted their target price on Taiwan Semiconductor Manufacturing from $325.00 to $370.00 and gave the stock a “hold” rating in a report on Friday, January 16th. Four equities research analysts have rated the stock with a Strong Buy rating, nine have issued a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Buy” and a consensus price target of $391.43.

Taiwan Semiconductor Manufacturing Stock Performance

The business’s fifty day moving average is $343.05 and its two-hundred day moving average is $302.06. The company has a quick ratio of 2.42, a current ratio of 2.62 and a debt-to-equity ratio of 0.17. The stock has a market capitalization of $1.75 trillion, a PE ratio of 31.76, a price-to-earnings-growth ratio of 0.95 and a beta of 1.29.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last announced its quarterly earnings results on Thursday, February 26th. The semiconductor company reported $3.11 earnings per share for the quarter. Taiwan Semiconductor Manufacturing had a net margin of 45.13% and a return on equity of 34.89%. The company had revenue of $30.65 billion for the quarter. As a group, research analysts anticipate that Taiwan Semiconductor Manufacturing Company Ltd. will post 9.2 EPS for the current fiscal year.

Taiwan Semiconductor Manufacturing Cuts Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, July 9th. Stockholders of record on Thursday, June 11th will be issued a $0.9503 dividend. The ex-dividend date is Thursday, June 11th. This represents a $3.80 dividend on an annualized basis and a dividend yield of 1.1%. Taiwan Semiconductor Manufacturing’s payout ratio is 23.57%.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the business. Brighton Jones LLC boosted its holdings in shares of Taiwan Semiconductor Manufacturing by 20.9% in the 4th quarter. Brighton Jones LLC now owns 10,930 shares of the semiconductor company’s stock worth $2,159,000 after purchasing an additional 1,892 shares during the period. Ignite Planners LLC lifted its position in Taiwan Semiconductor Manufacturing by 4.7% in the second quarter. Ignite Planners LLC now owns 2,610 shares of the semiconductor company’s stock worth $627,000 after buying an additional 116 shares during the last quarter. Resona Asset Management Co. Ltd. bought a new stake in Taiwan Semiconductor Manufacturing in the second quarter worth $302,000. Ethos Financial Group LLC purchased a new position in Taiwan Semiconductor Manufacturing during the second quarter worth $269,000. Finally, Savant Capital LLC increased its position in Taiwan Semiconductor Manufacturing by 51.8% during the second quarter. Savant Capital LLC now owns 23,290 shares of the semiconductor company’s stock valued at $5,275,000 after acquiring an additional 7,944 shares during the last quarter. 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.