Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) Stock Has Consensus Price Target of $524.89 According to Analysts

Shares of Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) have been given a consensus recommendation of “Buy” by the sixteen ratings firms that are currently covering the stock, Marketbeat reports. Two analysts have rated the stock with a hold recommendation, eleven have assigned a buy recommendation and three have assigned a strong buy recommendation to the company. The average 12 month price objective among brokerages that have issued a report on the stock in the last year is $524.89.

A number of brokerages have recently weighed in on TSM. Weiss Ratings lowered shares of Taiwan Semiconductor Manufacturing from a “buy (b-)” rating to a “hold (c+)” rating in a report on Tuesday, October 6th. Sanford C. Bernstein raised their target price on Taiwan Semiconductor Manufacturing from $430.00 to $554.00 and gave the stock an “outperform” rating in a research note on Tuesday, August 11th. Susquehanna raised their target price on Taiwan Semiconductor Manufacturing from $575.00 to $600.00 and gave the stock a “positive” rating in a research note on Thursday, July 16th. Barclays lifted their price target on Taiwan Semiconductor Manufacturing from $650.00 to $665.00 and gave the stock an “overweight” rating in a research report on Tuesday, October 6th. Finally, Zacks Research upgraded Taiwan Semiconductor Manufacturing from a “hold” rating to a “strong-buy” rating in a research note on Thursday, July 16th.

Insider Buying and Selling

In other news, VP Bor-Zen Tien bought 1,000 shares of the firm’s stock in a transaction that occurred on Monday, August 3rd. The stock was purchased at an average price of $73.06 per share, with a total value of $73,060.00. Following the completion of the acquisition, the vice president directly owned 14,051 shares of the company’s stock, valued at $1,026,566.06. This trade represents a 7.66% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, VP Lipen Yuan bought 350 shares of the company’s stock in a transaction that occurred on Tuesday, August 18th. The stock was purchased at an average price of $73.58 per share, for a total transaction of $25,753.00. Following the transaction, the vice president owned 2,000 shares of the company’s stock, valued at $147,160. The trade was a 21.21% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Insiders bought 16,043 shares of company stock valued at $1,185,746 over the last quarter. 1.11% of the stock is currently owned by company insiders.

Institutional Trading of Taiwan Semiconductor Manufacturing

Large investors have recently made changes to their positions in the business. Hilton Head Capital Partners LLC acquired a new stake in Taiwan Semiconductor Manufacturing during the 4th quarter valued at approximately $27,000. Strategic Advocates LLC raised its position in Taiwan Semiconductor Manufacturing by 62.1% during the fourth quarter. Strategic Advocates LLC now owns 94 shares of the semiconductor company’s stock valued at $28,000 after acquiring an additional 36 shares in the last quarter. Evolution Wealth Management Inc. boosted its position in Taiwan Semiconductor Manufacturing by 257.7% in the 1st quarter. Evolution Wealth Management Inc. now owns 93 shares of the semiconductor company’s stock worth $31,000 after purchasing an additional 67 shares in the last quarter. Cedar Mountain Advisors LLC increased its holdings in shares of Taiwan Semiconductor Manufacturing by 88.2% during the 2nd quarter. Cedar Mountain Advisors LLC now owns 64 shares of the semiconductor company’s stock valued at $31,000 after purchasing an additional 30 shares in the last quarter. Finally, Financial Freedom LLC purchased a new stake in Taiwan Semiconductor Manufacturing during the first quarter worth $32,000. 16.51% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting Taiwan Semiconductor Manufacturing

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

• Positive Sentiment: AI demand is accelerating. Recent revenue data and analyst previews point to faster-than-expected growth, supported by high-performance computing, advanced logic chips, and continued data-center investment. TSMC’s monthly revenue trends suggest another strong quarter. TSMC Revenue Growth Accelerated Faster Than Expected Last Quarter
• Positive Sentiment: Expectations for the October 15 report are high. Forecasts cited in the coverage call for approximately $46.7 billion in third-quarter revenue and $23.4 billion in profit, while TSMC’s prior guidance was $44.6 billion to $45.8 billion in revenue. Investors will focus on AI-related growth, HPC demand, 3-nanometer production, margins, and capacity plans. TSMC Eyes Third-Quarter Profit and Revenue Forecasts
• Positive Sentiment: TSMC remains strategically essential to the chip industry. Its leading position in advanced logic manufacturing and virtual monopoly in some cutting-edge processes make it a major beneficiary of the AI infrastructure buildout. Some prominent investors and analysts continue to identify TSM as a preferred AI-chip investment. Stanley Druckenmiller Has a Large TSMC Position
• Neutral Sentiment: Smartphone industry changes could provide an additional tailwind. Rising memory prices may pressure low-end handset demand and push consumers toward more expensive phones, potentially increasing demand for higher-value chips manufactured by TSMC. The Death of Cheap Smartphones
• Negative Sentiment: Valuation and cash-flow concerns are limiting enthusiasm. After a substantial share-price advance, investors are questioning whether future cash generation can justify TSM’s premium valuation while the company undertakes heavy capital spending to expand capacity. Any earnings or guidance shortfall could trigger profit-taking. Can TSMC Justify Its Price on Cash Flow?

Taiwan Semiconductor Manufacturing Stock Down 1.9%

Taiwan Semiconductor Manufacturing stock opened at $444.81 on Thursday. The company has a debt-to-equity ratio of 0.14, a current ratio of 2.46 and a quick ratio of 2.25. The stock has a market capitalization of $2.31 trillion, a price-to-earnings ratio of 32.09, a PEG ratio of 1.00 and a beta of 1.37. The business has a fifty day moving average price of $433.89 and a 200-day moving average price of $415.05. Taiwan Semiconductor Manufacturing has a 1-year low of $266.82 and a 1-year high of $487.47.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last issued its quarterly earnings results on Tuesday, June 30th. The semiconductor company reported $4.28 earnings per share (EPS) for the quarter. The business had revenue of $39.89 billion for the quarter. Taiwan Semiconductor Manufacturing had a net margin of 50.31% and a return on equity of 39.25%. Equities research analysts forecast that Taiwan Semiconductor Manufacturing will post 16.56 EPS for the current fiscal year.

Taiwan Semiconductor Manufacturing Cuts Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, January 7th. Stockholders of record on Thursday, December 10th will be paid a $1.0854 dividend. The ex-dividend date is Thursday, December 10th. This is a negative change from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $1.1136. This represents a $4.34 annualized dividend and a dividend yield of 1.0%. Taiwan Semiconductor Manufacturing’s dividend payout ratio (DPR) is 24.96%.

Taiwan Semiconductor Manufacturing Company Profile

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM), commonly known as TSMC, is a Taiwan-based semiconductor manufacturer and the world’s largest dedicated semiconductor foundry. Founded in 1987 by Morris Chang, the company pioneered the pure-play foundry model, producing chips designed by other companies rather than selling products under its own semiconductor brand.

TSMC manufactures a broad range of integrated circuits, including advanced logic chips used in high-performance computing, smartphones, automotive systems, communications equipment, and consumer electronics.