Taiwan Semiconductor Manufacturing (NYSE:TSM) Stock Price Up 1.2% – Here’s Why

Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM)’s stock price traded up 1.2% during mid-day trading on Wednesday . The company traded as high as $348.68 and last traded at $341.8380. 14,842,664 shares traded hands during mid-day trading, an increase of 4% from the average session volume of 14,207,039 shares. The stock had previously closed at $337.95.

More Taiwan Semiconductor Manufacturing News

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

• Positive Sentiment: TSMC will start equipment installation and plans mass production of 3‑nanometre wafers at its second Japan factory in 2028, supporting capacity diversification and nearershore supply for AI chips. TSMC plans 3-nanometre chip production launch in Japan in 2028
• Positive Sentiment: Regulatory/official approval and a ~\$5.26B investment for an advanced AI-focused 3nm “mega‑factory” in Japan strengthens TSMC’s geographic diversification and long-term AI supply-chain positioning. Taiwan Semiconductor Wins Approval For Ultra-Efficient AI Chip Mega-Factory In Japan
• Positive Sentiment: Analysts and outlets are highlighting TSMC’s leadership in the AI chip supply chain and in some cases prefer TSMC, Broadcom and Micron over Nvidia for 2026 AI-related growth — signaling continued analyst support for TSMC’s secular story. Three AI Chip Stocks Analysts Love More Than Nvidia (NVDA) Right Now
• Positive Sentiment: TSMC’s 2nm production ramp and sustained AI demand are being cited as drivers that reframe growth and valuation expectations—higher‑margin AI orders could lift long‑term revenue and profitability. TSMC 2nm Ramp And AI Demand Reframe Growth And Valuation Narrative
• Positive Sentiment: Large unusual options activity — an elevated purchase of call options — suggests some traders are positioning bullishly for further upside or event-driven gains. Unusually large options trading activity
• Positive Sentiment: TSMC emphasizes advanced packaging to capture more value per wafer and meet AI customer needs, which could expand addressable market and margins over time. Will TSM’s Advanced Packaging Push Unlock a New Growth Phase?
• Neutral Sentiment: Investors are actively searching TSM on platforms (higher attention can boost short‑term flows but is not inherently directional). Investors Heavily Search Taiwan Semiconductor Manufacturing Company Ltd. (TSM): Here is What You Need to Know
• Neutral Sentiment: Mentions in investor letters and lists of innovative companies (Fast Company, fund commentaries) reinforce brand and strategy but are secondary to capacity and demand news. Taiwan Semiconductor Manufacturing Company Limited (TSM) Gains from Strong Demand…
• Negative Sentiment: Recent volatility: a prior session saw TSMC fall more steeply than the market, underscoring that shares can react sharply to macro headlines or near‑term demand noise. TSMC (TSM) Falls More Steeply Than Broader Market: What Investors Need to Know

Analyst Ratings Changes

TSM has been the subject of a number of recent research reports. Freedom Capital upgraded shares of Taiwan Semiconductor Manufacturing to a “strong-buy” rating in a report on Thursday, January 15th. Dbs Bank raised shares of Taiwan Semiconductor Manufacturing to a “moderate buy” rating in a research note on Friday, January 23rd. 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. TD Cowen lifted their target price on shares of Taiwan Semiconductor Manufacturing from $325.00 to $370.00 and gave the stock a “hold” rating in a research note on Friday, January 16th. Finally, Needham & Company LLC increased their price target on Taiwan Semiconductor Manufacturing from $360.00 to $410.00 and gave the stock a “buy” rating in a research note on Thursday, January 15th. Three research analysts have rated the stock with a Strong Buy rating, ten have given a Buy rating and two have assigned a Hold rating to the stock. According to MarketBeat.com, Taiwan Semiconductor Manufacturing currently has a consensus rating of “Buy” and a consensus price target of $391.43.

Taiwan Semiconductor Manufacturing Stock Performance

The company has a market cap of $1.77 trillion, a price-to-earnings ratio of 32.10, a P/E/G ratio of 0.87 and a beta of 1.29. The company has a current ratio of 2.62, a quick ratio of 2.42 and a debt-to-equity ratio of 0.17. The stock’s 50 day moving average price is $348.54 and its 200 day moving average price is $314.32.

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

Taiwan Semiconductor Manufacturing Cuts Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, July 9th. Shareholders of record on Thursday, June 11th will be issued a $0.9503 dividend. This represents a $3.80 dividend on an annualized basis and a dividend yield of 1.1%. The ex-dividend date is Thursday, June 11th. Taiwan Semiconductor Manufacturing’s dividend payout ratio (DPR) is 28.36%.

Insider Activity

In other news, VP Bor-Zen Tien acquired 1,000 shares of the company’s stock in a transaction dated Sunday, March 22nd. The stock was acquired at an average cost of $55.93 per share, for a total transaction of $55,930.00. Following the acquisition, the vice president directly owned 9,051 shares in the company, valued at approximately $506,222.43. This represents a 12.42% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is available at this link. 1.11% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Taiwan Semiconductor Manufacturing

A number of institutional investors have recently added to or reduced their stakes in TSM. Old North State Trust LLC grew its holdings in shares of Taiwan Semiconductor Manufacturing by 16.4% during the 4th quarter. Old North State Trust LLC now owns 9,085 shares of the semiconductor company’s stock worth $2,761,000 after purchasing an additional 1,279 shares during the period. J. Derek Lewis & Associates Inc. purchased a new position in Taiwan Semiconductor Manufacturing in the fourth quarter valued at approximately $580,000. Purpose Unlimited Inc. acquired a new position in Taiwan Semiconductor Manufacturing during the fourth quarter valued at approximately $881,000. Cornerstone Planning LLC purchased a new stake in Taiwan Semiconductor Manufacturing during the fourth quarter worth approximately $415,000. Finally, Rockefeller Capital Management L.P. grew its stake in Taiwan Semiconductor Manufacturing by 16.4% during the fourth quarter. Rockefeller Capital Management L.P. now owns 872,099 shares of the semiconductor company’s stock worth $265,024,000 after buying an additional 123,078 shares during the period. 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.