Taiwan Semiconductor Manufacturing (NYSE:TSM) Shares Down 1.2% After Analyst Downgrade

Shares of Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) were down 1.2% on Monday after Wall Street Zen downgraded the stock from a buy rating to a hold rating. The stock traded as low as $283.19 and last traded at $288.0040. Approximately 7,554,549 shares changed hands during mid-day trading, a decline of 47% from the average daily volume of 14,345,986 shares. The stock had previously closed at $291.51.

Several other equities analysts have also weighed in on the stock. Needham & Company LLC reaffirmed a “buy” rating and set a $360.00 price objective on shares of Taiwan Semiconductor Manufacturing in a research report on Monday, October 27th. Susquehanna raised their price target on shares of Taiwan Semiconductor Manufacturing from $300.00 to $400.00 and gave the company a “positive” rating in a report on Friday, October 10th. Itau BBA Securities initiated coverage on shares of Taiwan Semiconductor Manufacturing in a research note on Tuesday, October 7th. They issued an “outperform” rating for the company. Citigroup reissued a “buy” rating on shares of Taiwan Semiconductor Manufacturing in a research report on Friday, October 17th. Finally, Barclays raised their target price on Taiwan Semiconductor Manufacturing from $330.00 to $355.00 and gave the company an “overweight” rating in a report on Friday, October 17th. Six research analysts have rated the stock with a Buy rating, Based on data from MarketBeat, the company currently has a consensus rating of “Buy” and an average target price of $371.67.

Institutional Investors Weigh In On Taiwan Semiconductor Manufacturing

Several hedge funds have recently made changes to their positions in TSM. Westfuller Advisors LLC grew its position in shares of Taiwan Semiconductor Manufacturing by 2.2% during the 3rd quarter. Westfuller Advisors LLC now owns 1,551 shares of the semiconductor company’s stock worth $434,000 after buying an additional 34 shares during the period. BankPlus Wealth Management LLC grew its stake in Taiwan Semiconductor Manufacturing by 1.6% in the third quarter. BankPlus Wealth Management LLC now owns 2,291 shares of the semiconductor company’s stock valued at $640,000 after acquiring an additional 35 shares during the period. Bank of Jackson Hole Trust increased its holdings in shares of Taiwan Semiconductor Manufacturing by 7.5% in the third quarter. Bank of Jackson Hole Trust now owns 500 shares of the semiconductor company’s stock worth $140,000 after acquiring an additional 35 shares in the last quarter. New Millennium Group LLC raised its holdings in Taiwan Semiconductor Manufacturing by 2.9% during the 3rd quarter. New Millennium Group LLC now owns 1,248 shares of the semiconductor company’s stock worth $349,000 after buying an additional 35 shares during the period. Finally, Empirical Asset Management LLC boosted its holdings in shares of Taiwan Semiconductor Manufacturing by 1.8% in the third quarter. Empirical Asset Management LLC now owns 2,008 shares of the semiconductor company’s stock valued at $561,000 after buying an additional 36 shares during the period. Institutional investors own 16.51% of the company’s stock.

Taiwan Semiconductor Manufacturing Price Performance

The company’s 50-day moving average price is $290.31 and its 200-day moving average price is $249.90. The company has a market cap of $1.49 trillion, a P/E ratio of 29.54, a P/E/G ratio of 1.02 and a beta of 1.31. The company has a debt-to-equity ratio of 0.20, a current ratio of 2.37 and a quick ratio of 2.15.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last posted its quarterly earnings data on Thursday, October 16th. The semiconductor company reported $2.92 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.59 by $0.33. Taiwan Semiconductor Manufacturing had a net margin of 43.72% and a return on equity of 36.06%. The company had revenue of $32.36 billion for the quarter, compared to the consensus estimate of $951.89 billion. During the same period last year, the company earned $1.94 earnings per share. The firm’s revenue was up 40.1% compared to the same quarter last year. Taiwan Semiconductor Manufacturing has set its Q4 2025 guidance at EPS. As a group, sell-side analysts predict that Taiwan Semiconductor Manufacturing Company Ltd. will post 9.2 earnings per share 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. Stockholders of record on Tuesday, March 17th will be given a $0.9678 dividend. The ex-dividend date is Tuesday, March 17th. This is a positive change from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $0.83. This represents a $3.87 dividend on an annualized basis and a dividend yield of 1.3%. Taiwan Semiconductor Manufacturing’s dividend payout ratio (DPR) is presently 25.74%.

Taiwan Semiconductor Manufacturing Company Profile

Taiwan Semiconductor Manufacturing Company Limited, together with its subsidiaries, manufactures, packages, tests, and sells integrated circuits and other semiconductor devices in Taiwan, China, Europe, the Middle East, Africa, Japan, the United States, and internationally. It provides a range of wafer fabrication processes, including processes to manufacture complementary metal- oxide-semiconductor (CMOS) logic, mixed-signal, radio frequency, embedded memory, bipolar CMOS mixed-signal, and others.