Taiwan Semiconductor Manufacturing (NYSE:TSM) Trading Up 1.4% – Time to Buy?

Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) shares rose 1.4% during trading on Wednesday . The stock traded as high as $307.39 and last traded at $303.77. Approximately 8,140,380 shares traded hands during trading, a decline of 42% from the average daily volume of 14,012,827 shares. The stock had previously closed at $299.58.

Key Stores Impacting Taiwan Semiconductor Manufacturing

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

• Positive Sentiment: Nvidia has asked TSMC to ramp production of H200 AI chips to fill large pre-orders from Chinese customers, signaling higher wafer demand for TSMC’s advanced nodes and immediate revenue upside. Exclusive: Nvidia sounds out TSMC on new H200 chip order
• Positive Sentiment: Separate Reuters reporting confirms the U.S. granted TSMC an annual license to bring chipmaking equipment into its Nanjing, China fab — removing a regulatory roadblock that supports TSMC’s China operations and capital deployment. US grants annual approval to TSMC for chipmaking tool exports to China
• Positive Sentiment: TSMC updated investors on mass production of 2nm chips, which reinforces its leadership in advanced process technology and supports higher ASPs and margins over time. TSMC Stock rallies on mass production of 2nm chips
• Positive Sentiment: Market commentary and roundup pieces are re‑affirming TSMC’s deepening moat — investors view the firm as the prime beneficiary of the AI supercycle and ETF flows tied to Nvidia/Groq expansion. TSMC’s Moat Is Deepening
• Neutral Sentiment: Broader analyst and retail pieces (Yahoo, Fool, Zacks) reiterate TSMC as a long-term core AI/semiconductor holding, which supports sentiment but is not new fundamental news. Is TSMC one of the best stocks?
• Negative Sentiment: Industry shifts such as NVIDIA’s strategic deals (and NVIDIA tapping Intel packaging capacity) highlight potential diversification of supply chains away from TSMC for advanced packaging — a reminder that packaging/capacity competition could moderate some of TSMC’s pricing power longer term. The Lazy Way to Play NVIDIA’s $20B Groq Deal

Analysts Set New Price Targets

TSM has been the subject of a number of research reports. Itau BBA Securities began coverage on Taiwan Semiconductor Manufacturing in a research note on Tuesday, October 7th. They set an “outperform” rating for the company. Barclays upped their price objective on Taiwan Semiconductor Manufacturing from $330.00 to $355.00 and gave the stock an “overweight” rating in a report on Friday, October 17th. Sanford C. Bernstein raised their target price on shares of Taiwan Semiconductor Manufacturing from $290.00 to $330.00 and gave the company an “outperform” rating in a report on Sunday, December 7th. Needham & Company LLC restated a “buy” rating and issued a $360.00 price target on shares of Taiwan Semiconductor Manufacturing in a research report on Monday, October 27th. Finally, Weiss Ratings reiterated a “buy (b-)” rating on shares of Taiwan Semiconductor Manufacturing in a research report on Monday. Seven research analysts have rated the stock with a Buy rating, Based on data from MarketBeat, the company presently has a consensus rating of “Buy” and a consensus target price of $355.00.

Taiwan Semiconductor Manufacturing Stock Performance

The company has a debt-to-equity ratio of 0.19, a current ratio of 2.69 and a quick ratio of 2.47. The business has a 50-day moving average of $292.49 and a 200-day moving average of $264.66. The company has a market capitalization of $1.57 trillion, a P/E ratio of 31.16, a P/E/G ratio of 1.03 and a beta of 1.31.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last announced its earnings results on Friday, November 14th. The semiconductor company reported $14.32 earnings per share for the quarter. Taiwan Semiconductor Manufacturing had a net margin of 43.72% and a return on equity of 34.34%. On average, sell-side analysts anticipate that Taiwan Semiconductor Manufacturing Company Ltd. will post 9.2 EPS for the current year.

Taiwan Semiconductor Manufacturing Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, April 9th. Shareholders of record on Tuesday, March 17th will be given a $0.9678 dividend. This is a boost from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $0.83. The ex-dividend date of this dividend is Tuesday, March 17th. This represents a $3.87 annualized dividend and a yield of 1.3%. Taiwan Semiconductor Manufacturing’s dividend payout ratio is currently 31.28%.

Institutional Trading of Taiwan Semiconductor Manufacturing

A number of large investors have recently made changes to their positions in TSM. Powers Advisory Group LLC acquired a new stake in Taiwan Semiconductor Manufacturing during the second quarter worth approximately $240,000. Hudson Edge Investment Partners Inc. lifted its stake in shares of Taiwan Semiconductor Manufacturing by 10.1% during the 2nd quarter. Hudson Edge Investment Partners Inc. now owns 236,503 shares of the semiconductor company’s stock worth $53,566,000 after purchasing an additional 21,648 shares during the period. RFG Holdings Inc. boosted its holdings in shares of Taiwan Semiconductor Manufacturing by 66.1% during the second 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. Duquesne Family Office LLC grew its position in shares of Taiwan Semiconductor Manufacturing by 456.9% in the first quarter. Duquesne Family Office LLC now owns 598,780 shares of the semiconductor company’s stock valued at $99,397,000 after purchasing an additional 491,265 shares during the period. Finally, Cherokee Insurance Co purchased a new stake in shares of Taiwan Semiconductor Manufacturing in the second quarter valued at $1,248,000. 16.51% of the stock is 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.