Taiwan Semiconductor Manufacturing (NYSE:TSM) Reaches New 1-Year High – Still a Buy?

Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) shares hit a new 52-week high during trading on Thursday . The company traded as high as $421.97 and last traded at $417.9380, with a volume of 6911764 shares trading hands. The stock had previously closed at $399.80.

More Taiwan Semiconductor Manufacturing News

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

• Positive Sentiment: TSMC raised its 2030 global semiconductor market forecast to more than $1.5 trillion, highlighting stronger-than-expected demand from AI and high-performance computing. TSMC says global chip market to hit $1.5 trillion by 2030 as AI drives growth
• Positive Sentiment: The company said it is accelerating capacity expansion, including nine new wafer fab and advanced packaging phases across multiple countries, which supports expectations for longer-term revenue growth. TSMC raises global chip market forecast to $1.5 trillion as AI demand surges
• Positive Sentiment: The stock is also benefiting from a broader rally in semiconductor and AI infrastructure names, as investors rotate into key “picks-and-shovels” suppliers tied to the AI build-out. TSMC jumps 4.4% as AI-chip demand narrative and a broader semiconductor rally lift the group
• Positive Sentiment: Reports also emphasized TSMC’s central role in the AI supply chain, reinforcing its strategic importance to major tech companies and cloud builders. Just How Important Is Taiwan? About $30 Trillion Important.
• Positive Sentiment: TSMC announced a 17.2% increase in its quarterly dividend, which can appeal to income-focused investors and signals confidence in cash generation. TSMC’s US$1.5t Chip Outlook Reshapes AI Supply Chain Risks And Rewards

Analyst Ratings Changes

A number of equities research analysts have issued reports on the stock. TD Cowen lifted their target price on shares of Taiwan Semiconductor Manufacturing from $325.00 to $370.00 and gave the company a “hold” rating in a research note on Friday, January 16th. Needham & Company LLC increased their price objective on Taiwan Semiconductor Manufacturing from $410.00 to $480.00 and gave the stock a “buy” rating in a report on Thursday, April 16th. Zacks Research downgraded Taiwan Semiconductor Manufacturing from a “strong-buy” rating to a “hold” rating in a research note on Monday, March 16th. Barclays raised their price target on Taiwan Semiconductor Manufacturing from $450.00 to $470.00 and gave the stock an “overweight” rating in a research note on Wednesday, April 22nd. Finally, Wall Street Zen raised Taiwan Semiconductor Manufacturing from a “hold” rating to a “buy” rating in a research note on Sunday, March 22nd. Two investment analysts have rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat, Taiwan Semiconductor Manufacturing has a consensus rating of “Buy” and a consensus target price of $404.29.

Taiwan Semiconductor Manufacturing Trading Up 4.4%

The firm has a market cap of $2.16 trillion, a P/E ratio of 34.72, a PEG ratio of 1.16 and a beta of 1.39. The company has a 50 day moving average of $363.15 and a 200 day moving average of $333.46. The company has a debt-to-equity ratio of 0.17, a quick ratio of 2.32 and a current ratio of 2.51.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last announced its quarterly earnings results on Tuesday, February 10th. The semiconductor company reported $3.11 EPS for the quarter. The business had revenue of $30.65 billion during the quarter. Taiwan Semiconductor Manufacturing had a return on equity of 38.17% and a net margin of 46.97%. Analysts predict that Taiwan Semiconductor Manufacturing Company Ltd. will post 15.25 EPS for the current fiscal year.

Taiwan Semiconductor Manufacturing Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, October 8th. Shareholders of record on Wednesday, September 16th will be given a dividend of $1.1136 per share. The ex-dividend date of this dividend is Wednesday, September 16th. This is an increase from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $0.95. This represents a $4.45 dividend on an annualized basis and a yield of 1.1%. Taiwan Semiconductor Manufacturing’s dividend payout ratio (DPR) is currently 24.96%.

Insider Transactions at Taiwan Semiconductor Manufacturing

In related news, VP Bor-Zen Tien bought 1,000 shares of the firm’s stock in a transaction on Sunday, March 22nd. The stock was purchased at an average price of $55.93 per share, with a total value of $55,930.00. Following the completion of the transaction, the vice president directly owned 9,051 shares of the company’s stock, valued at $506,222.43. This trade represents a 12.42% increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders purchased a total of 1,346 shares of company stock worth $78,185 over the last three months. 1.11% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Taiwan Semiconductor Manufacturing

A number of large investors have recently added to or reduced their stakes in TSM. Quattro Advisors LLC bought a new stake in Taiwan Semiconductor Manufacturing during the fourth quarter worth approximately $25,000. Hilton Head Capital Partners LLC acquired a new position in shares of Taiwan Semiconductor Manufacturing during the fourth quarter worth approximately $27,000. Stephens Consulting LLC lifted its holdings in shares of Taiwan Semiconductor Manufacturing by 82.0% during the fourth quarter. Stephens Consulting LLC now owns 91 shares of the semiconductor company’s stock worth $28,000 after buying an additional 41 shares during the last quarter. Strategic Advocates LLC lifted its holdings in shares of Taiwan Semiconductor Manufacturing by 62.1% during the fourth quarter. Strategic Advocates LLC now owns 94 shares of the semiconductor company’s stock worth $28,000 after buying an additional 36 shares during the last quarter. Finally, Ares Financial Consulting LLC acquired a new position in shares of Taiwan Semiconductor Manufacturing during the fourth quarter worth approximately $29,000. 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.