Taiwan Semiconductor Manufacturing (NYSE:TSM) Shares Down 4.9% – What’s Next?

Shares of Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) were down 4.9% on Thursday . The company traded as low as $336.38 and last traded at $337.0310. Approximately 17,439,436 shares traded hands during trading, an increase of 23% from the average daily volume of 14,157,106 shares. The stock had previously closed at $354.56.

Key Taiwan Semiconductor Manufacturing News

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

• Positive Sentiment: Reuters/MSN reports TSMC now commands roughly 70% of the global foundry market — a reminder of its pricing power, scale advantages and strategic importance to chip customers, which supports revenue and margin resilience. Taiwan Semiconductor now commands 70% of global foundry market
• Positive Sentiment: SEC-filing coverage: TSMC has maintained a steady capital structure and disclosed new investments — signaling disciplined allocation of its large capex program and reducing investor concern about dilution or aggressive leverage. That supports confidence in execution of capacity buildouts. Taiwan Semiconductor Keeps Capital Structure Steady And Reveals New Investments
• Positive Sentiment: Valuation note: analysts and commentators are reassessing TSMC after a strong FY performance and a recent share pullback — the narrative that the stock may be more attractively priced after profit-taking is drawing buyer interest. Assessing Taiwan Semiconductor Manufacturing’s Valuation After A Strong Year And Recent Share Price Pullback
• Neutral Sentiment: TSMC released February 2026 revenue data — investors are parsing monthly trends for signs of AI-related capacity demand and seasonal recovery; the print is a short-term data point rather than a directional catalyst by itself. Taiwan Semiconductor Manufacturing (TSM) reports Feb 2026 revenue data
• Neutral Sentiment: Comparative analysis pieces (e.g., AMD vs. TSMC) are keeping investors focused on relative valuation and growth prospects across chip-related names; useful for positioning but not an immediate company-specific catalyst. AMD vs. TSMC: Which Chip Stock Actually Delivers the Smarter Return in 2026?
• Neutral Sentiment: Coverage noting large-manager portfolios and sector capex narratives (e.g., Steven Cohen holdings, AI capex winners) underscores institutional interest and the longer-term demand story for leading foundries, but these are background positives rather than immediate catalysts. Here Are Billionaire Steven Cohen’s 5 Biggest Stock Holdings
• Negative Sentiment: Macro/geopolitical risk: broader coverage flags that foreign markets are reeling from the Iran conflict and energy shock — such risk-off episodes can pressure Asian equities and cyclical chip demand, creating downside risk to TSMC’s near-term multiples. Foreign Stocks Are Reeling From the Iran War. Buying the Dip Could Pay Off.

Wall Street Analysts Forecast Growth

TSM has been the subject of several analyst reports. Citigroup reiterated a “buy” rating on shares of Taiwan Semiconductor Manufacturing in a report on Friday, January 9th. UBS Group set a $330.00 price objective on shares of Taiwan Semiconductor Manufacturing in a report on Sunday, December 7th. Needham & Company LLC lifted their price objective on shares of Taiwan Semiconductor Manufacturing from $360.00 to $410.00 and gave the stock a “buy” rating in a research report on Thursday, January 15th. Dbs Bank upgraded shares of Taiwan Semiconductor Manufacturing to a “moderate buy” rating in a research note on Friday, January 23rd. Finally, Weiss Ratings lowered Taiwan Semiconductor Manufacturing from a “buy (b-)” rating to a “hold (c+)” rating in a report on Thursday, March 5th. Four research analysts have rated the stock with a Strong Buy rating, nine have assigned a Buy rating and two have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company currently has an average rating of “Buy” and a consensus target price of $391.43.

Taiwan Semiconductor Manufacturing Price Performance

The stock has a market capitalization of $1.75 trillion, a price-to-earnings ratio of 31.76, a P/E/G ratio of 0.92 and a beta of 1.29. 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 fifty day moving average of $346.99 and a 200-day moving average of $305.52.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last released its quarterly earnings data on Thursday, February 26th. The semiconductor company reported $3.11 earnings per share for the quarter. The company had revenue of $30.65 billion for the quarter. Taiwan Semiconductor Manufacturing had a net margin of 45.13% and a return on equity of 34.89%. On average, equities research analysts predict 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. Investors of record on Thursday, June 11th will be paid a dividend of $0.9503 per share. This represents a $3.80 annualized dividend and a yield of 1.1%. The ex-dividend date is Thursday, June 11th. Taiwan Semiconductor Manufacturing’s dividend payout ratio (DPR) is currently 23.57%.

Hedge Funds Weigh In On Taiwan Semiconductor Manufacturing

Several large investors have recently bought and sold shares of TSM. Brighton Jones LLC grew its stake in Taiwan Semiconductor Manufacturing by 20.9% during the 4th quarter. Brighton Jones LLC now owns 10,930 shares of the semiconductor company’s stock worth $2,159,000 after buying an additional 1,892 shares during the last quarter. Ignite Planners LLC lifted its stake 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 valued at $627,000 after buying an additional 116 shares during the last quarter. Mitsubishi UFJ Asset Management Co. Ltd. lifted its stake in Taiwan Semiconductor Manufacturing by 0.5% in the second quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 23,540 shares of the semiconductor company’s stock valued at $5,296,000 after buying an additional 110 shares during the last quarter. Boston Partners boosted its holdings in shares of Taiwan Semiconductor Manufacturing by 239.4% in the second quarter. Boston Partners now owns 24,675 shares of the semiconductor company’s stock valued at $5,589,000 after acquiring an additional 17,405 shares during the period. Finally, KBC Group NV grew its position in shares of Taiwan Semiconductor Manufacturing by 20.3% during the second quarter. KBC Group NV now owns 112,831 shares of the semiconductor company’s stock worth $25,555,000 after acquiring an additional 19,026 shares during the last quarter. Institutional investors and hedge funds 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.