Taiwan Semiconductor Manufacturing (NYSE:TSM) Sets New 1-Year High – Time to Buy?

Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) shares hit a new 52-week high during mid-day trading on Monday . The stock traded as high as $333.55 and last traded at $332.3860, with a volume of 9917640 shares. The stock had previously closed at $323.63.

More Taiwan Semiconductor Manufacturing News

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

• Positive Sentiment: Analysts and outlets expect a record Q4 driven by AI infrastructure demand; several previews say Q4 profit/revenue should be materially higher, reinforcing upside to near-term results. TSMC Q4 profit poised to soar 27% as AI demand drives growth
• Positive Sentiment: Industry commentators and note-writers call TSMC a primary beneficiary of the AI cycle (pricing power, sold-out advanced packaging and multi-quarter revenue acceleration), supporting continued margin expansion and multiple expansion potential. Taiwan Semiconductor: Another Blowout Earnings Look Inevitable
• Positive Sentiment: Reports say the U.S. and Taiwan discussions include tariff-relief elements and TSMC is planning U.S. capacity expansion — a policy/backdrop that reduces geopolitical risk for U.S. customers and could win new orders. Market reaction to trade-deal headlines lifted the stock. TSMC Plans U.S. Expansion in Proposed Taiwan Tariff-Relief Deal
• Neutral Sentiment: Multiple market roundups and analyst previews (earnings calendars and “how to play” pieces) are flagging TSMC as a top earnings event this week — increases visibility and trading volume but already priced-in in part. Top Stocks With Earnings This Week: TSMC, Big Banks And More
• Neutral Sentiment: Valuation/idea pieces list TSMC as an undervalued AI play vs. peers — helpful context for longer-term buyers but less immediately catalytic than concrete results or policy. Top Undervalued AI Stocks: Micron, TSMC, Qualcomm Dominate
• Negative Sentiment: Some analysts warn rising costs from overseas expansions and heavy capex (to add U.S. capacity) could pressure near-term profitability even as revenue rises — a risk to watch in the upcoming report and guidance. Taiwan Semiconductor to Report Q4 Earnings: How to Play the Stock?

Wall Street Analysts Forecast Growth

A number of equities analysts recently weighed in on TSM shares. Citigroup restated a “buy” rating on shares of Taiwan Semiconductor Manufacturing in a research report on Friday. Itau BBA Securities started coverage on Taiwan Semiconductor Manufacturing in a report on Tuesday, October 7th. They set an “outperform” rating on the stock. Susquehanna upped their price target on Taiwan Semiconductor Manufacturing from $300.00 to $400.00 and gave the company a “positive” rating in a research report on Friday, October 10th. Barclays increased their price target on Taiwan Semiconductor Manufacturing from $330.00 to $355.00 and gave the company an “overweight” rating in a report on Friday, October 17th. Finally, UBS Group set a $330.00 price objective on Taiwan Semiconductor Manufacturing in a research note on Sunday, December 7th. Eight research analysts have rated the stock with a Buy rating, According to data from MarketBeat, the stock currently has an average rating of “Buy” and an average target price of $355.00.

Taiwan Semiconductor Manufacturing Price Performance

The company has a fifty day moving average of $295.56 and a 200-day moving average of $270.42. The company has a current ratio of 2.69, a quick ratio of 2.47 and a debt-to-equity ratio of 0.19. The stock has a market cap of $1.72 trillion, a PE ratio of 34.04, a P/E/G ratio of 0.92 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 earnings per share for the quarter. Taiwan Semiconductor Manufacturing had a return on equity of 34.34% and a net margin of 43.72%. Sell-side analysts expect that Taiwan Semiconductor Manufacturing Company Ltd. will post 9.2 EPS for the current fiscal year.

Taiwan Semiconductor Manufacturing Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, April 9th. Shareholders of record on Tuesday, March 17th will be paid a $0.9678 dividend. This represents a $3.87 annualized dividend and a dividend yield of 1.2%. This is a positive change from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $0.83. The ex-dividend date is Tuesday, March 17th. Taiwan Semiconductor Manufacturing’s payout ratio is presently 25.74%.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of TSM. Childress Capital Advisors LLC boosted its position in shares of Taiwan Semiconductor Manufacturing by 145.3% in the third quarter. Childress Capital Advisors LLC now owns 3,192 shares of the semiconductor company’s stock valued at $891,000 after acquiring an additional 1,891 shares during the period. Powers Advisory Group LLC bought a new stake in Taiwan Semiconductor Manufacturing in the 2nd quarter valued at $240,000. Hudson Edge Investment Partners Inc. boosted its holdings in Taiwan Semiconductor Manufacturing by 10.1% in the 2nd quarter. Hudson Edge Investment Partners Inc. now owns 236,503 shares of the semiconductor company’s stock valued at $53,566,000 after purchasing an additional 21,648 shares during the period. RFG Holdings Inc. grew its position in Taiwan Semiconductor Manufacturing by 66.1% in the 2nd quarter. RFG Holdings Inc. now owns 3,898 shares of the semiconductor company’s stock worth $883,000 after purchasing an additional 1,551 shares during the last quarter. Finally, Cherokee Insurance Co bought a new position in shares of Taiwan Semiconductor Manufacturing during the 2nd quarter worth about $1,248,000. 16.51% of the stock is currently owned by hedge funds and other institutional investors.

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.