Taiwan Semiconductor Manufacturing (NYSE:TSM) Stock Price Up 1.7% – What’s Next?

Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM)’s share price traded up 1.7% on Friday . The stock traded as high as $292.17 and last traded at $289.41. 12,651,301 shares changed hands during mid-day trading, a decline of 11% from the average session volume of 14,245,778 shares. The stock had previously closed at $284.68.

Key Headlines Impacting Taiwan Semiconductor Manufacturing

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

• Positive Sentiment: Bernstein reiterated an Outperform rating and a $330 price target after monthly sales reportedly tracked ahead of the company’s guidance, supporting expectations for stronger near-term revenue and validating upside case for 2026. Bernstein Asserts Outperform Rating as Taiwan Semiconductor Manufacturing Company Limited (TSM) Monthly Sales Track Ahead of Guidance
• Positive Sentiment: Seeking Alpha upgraded TSMC on the view that the market still underestimates TSMC’s dominance in AI-focused advanced nodes — a narrative that supports multiple years of high-capex customer demand (positive for long-term revenue and margins). TSMC: The Market Is Still Surprisingly Mispricing Its AI Chipmaking Dominance (Rating Upgrade)
• Positive Sentiment: Macro/sector pieces highlight 2026 record capex plans by hyperscalers and broad AI momentum, which boosts visibility into sustained demand for TSMC’s advanced process nodes and supports the bull case. These AI Stocks Could Surge in December as Momentum Builds
• Neutral Sentiment: Corporate housekeeping: TSMC’s U.S. unit, TSMC Arizona Corporation, reaffirmed an unchanged board in a December shareholder action — a governance update that preserves management continuity but is not a material operating catalyst. TSMC Arizona Reaffirms Unchanged Board in December 2025 Shareholder Action
• Neutral Sentiment: Zacks notes increased investor attention to TSMC — useful context for liquidity and sentiment shifts but not a direct fundamental driver. Taiwan Semiconductor Manufacturing Company Ltd. (TSM) is Attracting Investor Attention: Here is What You Should Know
• Negative Sentiment: Near-term volatility: reports highlighted a sharper pullback in TSMC shares after the November revenue update and algorithm-driven selling, which pressured the stock in recent sessions. MarketBeat Week in Review – 12/15 – 12/19 (mentions TSMC pullback)
• Negative Sentiment: Zacks flagged a recent session where TSMC registered a larger-than-market decline, underscoring short-term downside risk as traders reprice guidance and seasonality. TSMC (TSM) Registers a Bigger Fall Than the Market: Important Facts to Note

Wall Street Analyst Weigh In

Several research firms have commented on TSM. Barclays lifted their price target on Taiwan Semiconductor Manufacturing from $330.00 to $355.00 and gave the stock an “overweight” rating in a research report on Friday, October 17th. Citigroup reaffirmed a “buy” rating on shares of Taiwan Semiconductor Manufacturing in a report on Friday, October 17th. Itau BBA Securities started coverage on shares of Taiwan Semiconductor Manufacturing in a research note on Tuesday, October 7th. They set an “outperform” rating for the company. UBS Group set a $330.00 price objective on shares of Taiwan Semiconductor Manufacturing in a research report on Sunday, December 7th. Finally, Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Taiwan Semiconductor Manufacturing in a report on Monday, December 15th. Seven investment analysts have rated the stock with a Buy rating, According to MarketBeat, Taiwan Semiconductor Manufacturing presently has an average rating of “Buy” and a consensus target price of $355.00.

Taiwan Semiconductor Manufacturing Stock Performance

The stock’s 50-day moving average price is $292.52 and its 200-day moving average price is $259.88. The company has a market capitalization of $1.50 trillion, a price-to-earnings ratio of 29.68, a P/E/G ratio of 0.99 and a beta of 1.31. The company has a debt-to-equity ratio of 0.19, a quick ratio of 2.47 and a current ratio of 2.69.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last released its quarterly earnings results on Thursday, October 16th. The semiconductor company reported $2.92 earnings per share for the quarter, topping analysts’ consensus estimates of $2.59 by $0.33. The business had revenue of $32.36 billion for the quarter, compared to analysts’ expectations of $951.89 billion. Taiwan Semiconductor Manufacturing had a return on equity of 34.34% and a net margin of 43.72%.The company’s revenue was up 40.1% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $1.94 EPS. As a group, equities research analysts expect that Taiwan Semiconductor Manufacturing Company Ltd. will post 9.2 earnings per share for the current year.

Taiwan Semiconductor Manufacturing Increases Dividend

The company 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. This is an increase 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%. The ex-dividend date is Tuesday, March 17th. Taiwan Semiconductor Manufacturing’s dividend payout ratio (DPR) is 25.85%.

Institutional Investors Weigh In On Taiwan Semiconductor Manufacturing

Institutional investors and hedge funds have recently made changes to their positions in the business. Heartwood Wealth Advisors LLC acquired a new position in Taiwan Semiconductor Manufacturing during the third quarter worth about $32,000. Cedar Wealth Management LLC increased its stake in shares of Taiwan Semiconductor Manufacturing by 91.4% during the 3rd quarter. Cedar Wealth Management LLC now owns 134 shares of the semiconductor company’s stock worth $37,000 after purchasing an additional 64 shares in the last quarter. Fairman Group LLC raised its position in shares of Taiwan Semiconductor Manufacturing by 171.2% during the 3rd quarter. Fairman Group LLC now owns 141 shares of the semiconductor company’s stock worth $39,000 after purchasing an additional 89 shares during the last quarter. Resources Management Corp CT ADV purchased a new stake in Taiwan Semiconductor Manufacturing in the 2nd quarter valued at approximately $32,000. Finally, Mid American Wealth Advisory Group Inc. purchased a new stake in Taiwan Semiconductor Manufacturing in the 2nd quarter valued at approximately $33,000. 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.