Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) Receives $524.25 Average Target Price from Analysts

Shares of Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) have been assigned an average recommendation of “Buy” from the sixteen ratings firms that are currently covering the firm, Marketbeat Ratings reports. Two investment analysts have rated the stock with a hold recommendation, eleven have issued a buy recommendation and three have given a strong buy recommendation to the company. The average 12 month target price among brokerages that have updated their coverage on the stock in the last year is $524.25.

A number of research firms have commented on TSM. Bank of America raised their price objective on Taiwan Semiconductor Manufacturing from $490.00 to $590.00 and gave the stock a “buy” rating in a research note on Wednesday, June 24th. Sanford C. Bernstein upped their target price on Taiwan Semiconductor Manufacturing from $430.00 to $554.00 and gave the company an “outperform” rating in a research report on Tuesday, August 11th. Wall Street Zen cut Taiwan Semiconductor Manufacturing from a “strong-buy” rating to a “buy” rating in a research report on Saturday, August 8th. Barclays boosted their price target on Taiwan Semiconductor Manufacturing from $625.00 to $650.00 and gave the company an “overweight” rating in a research note on Friday, July 17th. Finally, Citigroup reaffirmed a “buy” rating on shares of Taiwan Semiconductor Manufacturing in a research report on Monday, July 6th.

Taiwan Semiconductor Manufacturing News Roundup

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

• Positive Sentiment: AI demand and advanced-node adoption remain key growth drivers. Analysts say TSMC is benefiting from strong demand for AI accelerators, growing use of leading-edge manufacturing and global capacity expansion, supporting expectations for continued revenue and earnings growth. TSM Rides on AI, Advanced Nodes and Capacity Expansion
• Positive Sentiment: Wall Street sees additional upside. The average analyst price target implies roughly 25% potential appreciation, while upward earnings-estimate revisions indicate that analyst conviction is improving. How Much Upside Is Left in TSMC
• Positive Sentiment: Nvidia could provide a near-term catalyst. Because Nvidia is TSMC’s largest customer, expectations for a strong Nvidia report, healthy orders and possible price increases could reinforce forecasts for stronger TSMC revenue and earnings. Prediction: TSMC Stock Will Soar Thanks to Nvidia’s Quarter
• Positive Sentiment: New customer business broadens demand. Xiaomi reportedly selected TSMC’s 3-nanometer process for its Xring O3 smartphone chip, adding another major design win and demonstrating demand for TSMC’s most advanced technology. Xiaomi Launches New Xring Chip and Partners With TSMC
• Neutral Sentiment: TSMC reported July financing and governance updates. The company disclosed bond-issuance and governance developments in a Form 6-K. The financing supports investment flexibility but also highlights the substantial capital required for expansion. TSMC Details July Bond Issuance and Governance Updates
• Negative Sentiment: Semiconductor stocks recently faced profit-taking. Weakness across chipmakers, concerns about Samsung and uncertainty before Nvidia’s results triggered a broader de-risking move, showing that TSM remains sensitive to AI-spending expectations and high valuations. TSMC Slides as AI-Chip Confidence Cracks

Insider Transactions at Taiwan Semiconductor Manufacturing

In other news, VP Lipen Yuan acquired 1,000 shares of the stock in a transaction on Tuesday, August 18th. The stock was acquired at an average cost 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 approximately $447,000. This trade represents a 20.00% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available through the SEC website. Also, VP Shyue-Shyh Lin bought 1,000 shares of the business’s stock in a transaction on Tuesday, July 21st. The shares were acquired at an average price of $74.13 per share, with a total value of $74,130.00. Following the completion of the purchase, the vice president directly owned 30,269 shares of the company’s stock, valued at approximately $2,243,840.97. The trade was a 3.42% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. In the last 90 days, insiders bought 17,662 shares of company stock valued at $1,307,491. Company insiders own 1.11% of the company’s stock.

Institutional Trading of Taiwan Semiconductor Manufacturing

Several large investors have recently bought and sold shares of the business. Brighton Jones LLC lifted its stake in Taiwan Semiconductor Manufacturing by 20.9% in the 4th quarter. Brighton Jones LLC now owns 10,930 shares of the semiconductor company’s stock valued at $2,159,000 after purchasing an additional 1,892 shares during the last quarter. Gamco Investors INC. ET AL bought a new stake in shares of Taiwan Semiconductor Manufacturing during the second quarter worth $701,000. Bank of Nova Scotia grew its stake in shares of Taiwan Semiconductor Manufacturing by 12.8% during the second quarter. Bank of Nova Scotia now owns 15,697 shares of the semiconductor company’s stock worth $3,556,000 after buying an additional 1,784 shares during the last quarter. FWL Investment Management LLC increased its holdings in shares of Taiwan Semiconductor Manufacturing by 26.5% during the second quarter. FWL Investment Management LLC now owns 253 shares of the semiconductor company’s stock worth $57,000 after buying an additional 53 shares in the last quarter. Finally, Main Street Financial Solutions LLC acquired a new position in shares of Taiwan Semiconductor Manufacturing during the second quarter worth $270,000. 16.51% of the stock is owned by institutional investors and hedge funds.

Taiwan Semiconductor Manufacturing Trading Up 1.8%

TSM stock opened at $417.42 on Wednesday. Taiwan Semiconductor Manufacturing has a 52 week low of $225.63 and a 52 week high of $479.00. The company has a market capitalization of $2.16 trillion, a PE ratio of 30.12, a price-to-earnings-growth ratio of 0.94 and a beta of 1.38. The company’s 50-day simple moving average is $424.88 and its 200 day simple moving average is $394.77. 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 issued its quarterly earnings data on Tuesday, June 30th. The semiconductor company reported $4.28 earnings per share for the quarter. The business had revenue of $39.89 billion during the quarter. Taiwan Semiconductor Manufacturing had a net margin of 50.31% and a return on equity of 39.25%. As a group, sell-side analysts anticipate that Taiwan Semiconductor Manufacturing will post 16.44 earnings per share for the current year.

Taiwan Semiconductor Manufacturing Cuts Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, January 7th. Stockholders of record on Thursday, December 10th will be given a $1.0854 dividend. The ex-dividend date is Thursday, December 10th. This represents a $4.34 annualized dividend and a dividend yield of 1.0%. Taiwan Semiconductor Manufacturing’s payout ratio is presently 21.43%.

Taiwan Semiconductor Manufacturing Company Profile

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.