Taiwan Semiconductor Manufacturing (NYSE:TSM) Shares Up 2.2% – Here’s Why

Shares of Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) rose 2.2% during mid-day trading on Friday . The company traded as high as $337.15 and last traded at $334.7340. Approximately 12,854,779 shares were traded during trading, a decline of 22% from the average daily volume of 16,504,865 shares. The stock had previously closed at $327.37.

Taiwan Semiconductor Manufacturing News Roundup

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

• Positive Sentiment: TSMC projects sustained, high growth — company commentary and reporting suggest a 25% annual revenue CAGR through 2029 driven by AI chip demand and forecasted strong expansion in 2026; big investments (including large fab buildouts) underpin the growth narrative. Taiwan Semiconductor (TSM) Stock: Chip Giant Projects Explosive Growth Through 2029
• Positive Sentiment: Analysts interpret TSMC’s higher capex guidance as evidence the AI buildout will continue into 2028; forecasts call for elevated gross margins (mid-60s possible) and a multi-year revenue tail tied to full utilization of N2/N3/N5 nodes and advanced packaging. Taiwan Semiconductor: Capex Guidance Raise Suggests AI Buildout Cycle Until 2028
• Positive Sentiment: Market commentary and feature pieces label TSMC a top conviction AI play for 2026 — favorable coverage from Forbes and other outlets reinforces investor appetite and supports multiple expansion. TSM Stock: The Highest Conviction Play In The Semiconductor Stack
• Neutral Sentiment: TSMC filed routine disclosures in a Form 6?K (executive shareholding and portfolio adjustments) and its North America unit refreshed board seats — corporate housekeeping that is unlikely to move fundamentals but is watched for governance signals. TSMC Reports December 2025 Executive Shareholding Change and Portfolio Adjustments
• Neutral Sentiment: Coverage questioning whether it’s “too late” to buy after the rally highlights valuation debate — important for near-term flows but not a change to the company’s demand outlook. Is It Too Late To Consider Taiwan Semiconductor Manufacturing (NYSE:TSM) After Its Strong Run?
• Neutral Sentiment: Market pieces comparing equipment suppliers and ecosystem links (ASML, Broadcom, etc.) underscore TSMC’s systemic importance — positive for industry positioning but not unique new news for TSMC itself. Why Taiwan Semiconductor and Meta Could Be the Hidden Bull Case for Broadcom (TSM)
• Negative Sentiment: TSMC plans to trim mature-node capacity (15–20% by 2028) to prioritize next?gen tech — a strategic positive long-term but a potential near-term revenue mix shift and execution risk as customers migrate nodes. Taiwan Semiconductor Shrinks Old Chip Lines, Goes All-In On Next-Gen Tech
• Negative Sentiment: Some commentators note TSMC’s upside depends on a multi-year AI capex cycle; if AI datacenter spending cools earlier than expected, revenue and multiple could be at risk. Prediction: 4 Stocks That’ll Be Worth More Than Apple 5 Years From Now

Analysts Set New Price Targets

Several equities research analysts have recently weighed in on the company. Citigroup reiterated a “buy” rating on shares of Taiwan Semiconductor Manufacturing in a research report on Friday, January 9th. Itau BBA Securities started coverage on shares of Taiwan Semiconductor Manufacturing in a report on Tuesday, October 7th. They set an “outperform” rating on the stock. TD Cowen increased 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. Weiss Ratings restated a “buy (b-)” rating on shares of Taiwan Semiconductor Manufacturing in a research report on Monday, December 29th. Finally, Wall Street Zen raised Taiwan Semiconductor Manufacturing from a “hold” rating to a “buy” rating in a research note on Saturday, January 17th. Two equities research analysts have rated the stock with a Strong Buy rating, eight have given a Buy rating and one has assigned a Hold rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Buy” and a consensus target price of $381.67.

Taiwan Semiconductor Manufacturing Stock Performance

The company has a debt-to-equity ratio of 0.19, a current ratio of 2.69 and a quick ratio of 2.47. The company has a 50 day simple moving average of $302.97 and a 200-day simple moving average of $276.31. The firm has a market cap of $1.73 trillion, a PE ratio of 31.43, a price-to-earnings-growth ratio of 0.93 and a beta of 1.29.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last released its earnings results on Friday, November 14th. The semiconductor company reported $14.32 EPS for the quarter. The company had revenue of $32.50 billion for the quarter. Taiwan Semiconductor Manufacturing had a net margin of 45.13% and a return on equity of 36.18%. As a group, equities research analysts anticipate that Taiwan Semiconductor Manufacturing Company Ltd. will post 9.2 EPS for the current year.

Taiwan Semiconductor Manufacturing Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, April 9th. Investors of record on Tuesday, March 17th will be issued a dividend of $0.9678 per share. The ex-dividend date is Tuesday, March 17th. This represents a $3.87 annualized dividend and a yield of 1.2%. This is a boost from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $0.83. Taiwan Semiconductor Manufacturing’s dividend payout ratio (DPR) is currently 23.57%.

Hedge Funds Weigh In On Taiwan Semiconductor Manufacturing

A number of hedge funds have recently modified their holdings of the company. Investment Advisory Group LLC boosted its holdings in shares of Taiwan Semiconductor Manufacturing by 6.6% during the fourth quarter. Investment Advisory Group LLC now owns 834 shares of the semiconductor company’s stock worth $253,000 after purchasing an additional 52 shares during the period. Tyche Wealth Partners LLC increased its holdings in Taiwan Semiconductor Manufacturing by 17.1% during the 4th quarter. Tyche Wealth Partners LLC now owns 1,681 shares of the semiconductor company’s stock valued at $511,000 after purchasing an additional 245 shares during the period. LOM Asset Management Ltd raised its position in Taiwan Semiconductor Manufacturing by 45.9% during the 4th quarter. LOM Asset Management Ltd now owns 5,405 shares of the semiconductor company’s stock valued at $1,643,000 after purchasing an additional 1,700 shares during the last quarter. Optima Capital LLC purchased a new stake in Taiwan Semiconductor Manufacturing in the 4th quarter worth approximately $53,000. Finally, Avion Wealth lifted its holdings in Taiwan Semiconductor Manufacturing by 10.8% in the 4th quarter. Avion Wealth now owns 349 shares of the semiconductor company’s stock worth $106,000 after buying an additional 34 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.