Taiwan Semiconductor Manufacturing (NYSE:TSM) Stock Price Down 1.8% – Time to Sell?

Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM)’s share price traded down 1.8% during trading on Thursday. The company traded as low as $393.91 and last traded at $405.8460. 11,294,589 shares changed hands during mid-day trading, a decline of 15% from the average session volume of 13,235,677 shares. The stock had previously closed at $413.35.

Taiwan Semiconductor Manufacturing News Summary

Here’s some of the latest news about TSM:

• Positive Sentiment: Wall Street remains bullish, with coverage emphasizing TSMC’s exposure to AI demand. The company’s proposed investments of up to $500 million each in OpenAI and Anthropic also deepen its ties to major AI customers. Wall Street Remains Bullish as October Revenue Surges
• Negative Sentiment: Reports that NVIDIA’s leadership turmoil is weighing on semiconductor shares have contributed to sector-wide concern, despite TSMC’s strong sales update. NVIDIA Shake-Up Overshadows TSMC Revenue
• Neutral Sentiment: ETFs were net sellers of TSM shares on Nov. 10, a potential near-term supply headwind, but the reported outflow alone does not establish a lasting change in investor sentiment. ETFs Are Net Sellers of Taiwan Semiconductor

Wall Street Analyst Weigh In

TSM has been the subject of a number of research analyst reports. DA Davidson reaffirmed a “buy” rating and issued a $500.00 price target on shares of Taiwan Semiconductor Manufacturing in a report on Friday, October 16th. Sanford C. Bernstein increased their price objective on shares of Taiwan Semiconductor Manufacturing from $554.00 to $600.00 and gave the stock an “outperform” rating in a report on Wednesday, November 4th. Zacks Research raised shares of Taiwan Semiconductor Manufacturing from a “hold” rating to a “strong-buy” rating in a report on Thursday, July 16th. Needham & Company LLC raised their price objective on shares of Taiwan Semiconductor Manufacturing from $530.00 to $560.00 and gave the company a “buy” rating in a research report on Thursday, October 15th. Finally, Citigroup reaffirmed a “buy” rating on shares of Taiwan Semiconductor Manufacturing in a research note on Wednesday, October 7th. Three analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat.com, the company presently has an average rating of “Buy” and an average target price of $533.89.

Taiwan Semiconductor Manufacturing Price Performance

The company has a 50 day moving average price of $430.67 and a 200 day moving average price of $401.82. The company has a market capitalization of $2.10 trillion, a price-to-earnings ratio of 26.12, a PEG ratio of 0.79 and a beta of 1.44. The company has a current ratio of 2.46, a quick ratio of 2.25 and a debt-to-equity ratio of 0.14.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last issued its quarterly earnings results on Thursday, October 15th. The semiconductor company reported $4.60 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.45 by $0.15. The business had revenue of $46.72 billion for the quarter, compared to analyst estimates of $45.67 billion. Taiwan Semiconductor Manufacturing had a return on equity of 42.84% and a net margin of 51.51%. The firm’s revenue for the quarter was up 41.2% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $2.92 earnings per share. As a group, equities research analysts forecast that Taiwan Semiconductor Manufacturing Company Ltd. will post 17.46 earnings per share for the current year.

Taiwan Semiconductor Manufacturing Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, April 8th. Stockholders of record on Thursday, March 11th will be issued a $1.3663 dividend. This is a positive change from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $1.0854. The ex-dividend date of this dividend is Thursday, March 11th. This represents a $5.47 annualized dividend and a dividend yield of 1.3%. Taiwan Semiconductor Manufacturing’s dividend payout ratio (DPR) is presently 22.27%.

Insider Activity

In other Taiwan Semiconductor Manufacturing news, VP Lipen Yuan purchased 1,000 shares of the company’s stock in a transaction dated Sunday, November 1st. The shares were bought at an average price of $71.49 per share, with a total value of $71,490.00. Following the completion of the transaction, the vice president directly owned 8,000 shares in the company, valued at $571,920. This trade represents a 14.29% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Michael R. Splinter acquired 840 shares of the business’s stock in a transaction dated Thursday, November 5th. The shares were acquired at an average price of $357.00 per share, for a total transaction of $299,880.00. Following the acquisition, the director directly owned 8,405 shares in the company, valued at $3,000,585. This represents a 11.10% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Over the last quarter, insiders have acquired 7,869 shares of company stock worth $823,771. Corporate insiders own 1.11% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in TSM. Fiduciary Advisors Inc. lifted its holdings in shares of Taiwan Semiconductor Manufacturing by 200.0% in the third quarter. Fiduciary Advisors Inc. now owns 60 shares of the semiconductor company’s stock valued at $27,000 after purchasing an additional 40 shares in the last quarter. Cedar Mountain Advisors LLC raised its position in Taiwan Semiconductor Manufacturing by 88.2% in the 2nd quarter. Cedar Mountain Advisors LLC now owns 64 shares of the semiconductor company’s stock valued at $31,000 after buying an additional 30 shares during the last quarter. Markowski Investments bought a new stake in Taiwan Semiconductor Manufacturing in the 2nd quarter valued at approximately $33,000. Heritage Family Offices LLP bought a new stake in Taiwan Semiconductor Manufacturing in the 3rd quarter valued at approximately $37,000. Finally, DiPaolo Financial Group Inc. bought a new stake in Taiwan Semiconductor Manufacturing in the 3rd quarter valued at approximately $38,000. Institutional investors and hedge funds own 16.51% of the company’s stock.

Taiwan Semiconductor Manufacturing Company Profile

Taiwan Semiconductor Manufacturing Company (TSMC) is a semiconductor foundry that manufactures chips designed by other companies. It provides wafer fabrication and related services, including advanced packaging, serving customers across industries such as computing, communications, automotive and consumer electronics. Founded in 1987 and headquartered in Hsinchu, Taiwan, TSMC helped establish the dedicated foundry model, in which a manufacturer focuses on producing semiconductors for customers rather than selling its own chip designs.