29,560 Shares in Taiwan Semiconductor Manufacturing Company Ltd. $TSM Bought by AI Squared Management Ltd

Key Points

• AI Squared Management opened a new position in Taiwan Semiconductor Manufacturing, buying 29,560 shares valued at about $8.98 million. The stake makes TSMC its second-largest holding, accounting for 10.4% of the portfolio.
• Wall Street sentiment remains bullish, with multiple analysts reiterating or raising price targets. The stock currently carries an average Buy rating and a consensus target price of $404.29.
• TSMC also reported solid fundamentals, including Q1 EPS of $3.11 and revenue of $30.65 billion, while recently increasing its quarterly dividend to $1.1136 per share. Recent news highlights strong AI-chip demand, though regulatory risks and capacity constraints remain in view.

AI Squared Management Ltd bought a new position in Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM - Free Report) in the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor bought 29,560 shares of the semiconductor company's stock, valued at approximately $8,983,000. Taiwan Semiconductor Manufacturing accounts for 10.4% of AI Squared Management Ltd's investment portfolio, making the stock its 2nd largest holding.

A number of other institutional investors and hedge funds have also recently added to or reduced their stakes in TSM. Hilton Head Capital Partners LLC acquired a new position in shares of Taiwan Semiconductor Manufacturing during the 4th quarter worth about $27,000. Stephens Consulting LLC boosted its stake in shares of Taiwan Semiconductor Manufacturing by 82.0% during the 4th quarter. Stephens Consulting LLC now owns 91 shares of the semiconductor company's stock worth $28,000 after buying an additional 41 shares during the last quarter. Strategic Advocates LLC boosted its stake in shares of Taiwan Semiconductor Manufacturing by 62.1% during the 4th quarter. Strategic Advocates LLC now owns 94 shares of the semiconductor company's stock worth $28,000 after buying an additional 36 shares during the last quarter. Ares Financial Consulting LLC acquired a new position in shares of Taiwan Semiconductor Manufacturing during the 4th quarter worth about $29,000. Finally, Basepoint Wealth LLC acquired a new position in shares of Taiwan Semiconductor Manufacturing during the 4th quarter worth about $31,000. 16.51% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently commented on the stock. Needham & Company LLC increased their price objective on shares of Taiwan Semiconductor Manufacturing from $410.00 to $480.00 and gave the stock a "buy" rating in a research note on Thursday, April 16th. DA Davidson restated a "buy" rating and set a $450.00 price objective on shares of Taiwan Semiconductor Manufacturing in a research note on Friday, April 17th. Weiss Ratings upgraded shares of Taiwan Semiconductor Manufacturing from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Friday, March 20th. Zacks Research downgraded shares of Taiwan Semiconductor Manufacturing from a "strong-buy" rating to a "hold" rating in a research note on Monday, March 16th. Finally, Wall Street Zen upgraded shares of Taiwan Semiconductor Manufacturing from a "hold" rating to a "buy" rating in a research note on Sunday, March 22nd. Two analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat.com, the stock currently has an average rating of "Buy" and a consensus target price of $404.29.

Taiwan Semiconductor Manufacturing Stock Up 2.7%

Shares of TSM stock opened at $419.67 on Friday. The company has a debt-to-equity ratio of 0.16, a quick ratio of 2.31 and a current ratio of 2.49. The firm's 50-day moving average is $395.41 and its 200-day moving average is $352.20. The stock has a market cap of $2.18 trillion, a price-to-earnings ratio of 34.91, a PEG ratio of 1.19 and a beta of 1.38. Taiwan Semiconductor Manufacturing Company Ltd. has a 52-week low of $206.20 and a 52-week high of $450.16.

Taiwan Semiconductor Manufacturing (NYSE:TSM - Get Free Report) last issued its earnings results on Tuesday, February 10th. The semiconductor company reported $3.11 earnings per share (EPS) for the quarter. The company had revenue of $30.65 billion for the quarter. Taiwan Semiconductor Manufacturing had a net margin of 46.97% and a return on equity of 36.81%. Sell-side analysts predict that Taiwan Semiconductor Manufacturing Company Ltd. will post 15.3 EPS for the current year.

Taiwan Semiconductor Manufacturing Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, October 8th. Shareholders of record on Wednesday, September 16th will be issued a $1.1136 dividend. The ex-dividend date of this dividend is Wednesday, September 16th. This represents a $4.45 annualized dividend and a yield of 1.1%. This is an increase from Taiwan Semiconductor Manufacturing's previous quarterly dividend of $0.95. Taiwan Semiconductor Manufacturing's payout ratio is currently 24.71%.

Insider Activity

In other Taiwan Semiconductor Manufacturing news, VP Tzu-Sou Chuang sold 200,000 shares of the stock in a transaction dated Tuesday, May 19th. The shares were sold at an average price of $69.83, for a total value of $13,966,000.00. Following the transaction, the vice president directly owned 2,495,165 shares of the company's stock, valued at $174,237,371.95. This represents a 7.42% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, VP Bor-Zen Tien purchased 2,000 shares of the stock in a transaction on Tuesday, May 19th. The stock was bought at an average cost of $69.91 per share, for a total transaction of $139,820.00. Following the completion of the acquisition, the vice president owned 11,051 shares in the company, valued at approximately $772,575.41. This trade represents a 22.10% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Over the last three months, insiders acquired 3,496 shares of company stock worth $229,407. Insiders own 1.11% of the company's stock.

Taiwan Semiconductor Manufacturing News Roundup

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

• Positive Sentiment: TSMC’s May revenue surged about 30% year over year, reinforcing that AI-related demand remains strong and that the company is tracking toward its quarterly sales goals.
• Positive Sentiment: Erste Group raised its FY2026 and FY2027 earnings forecasts for Taiwan Semiconductor Manufacturing, adding to bullish analyst sentiment on the stock.
• Positive Sentiment: TSMC remains a key beneficiary of the AI semiconductor buildout, with commentary emphasizing its dominant role in advanced chip manufacturing and packaging.
• Neutral Sentiment: Google is reportedly exploring Samsung as a second manufacturing partner for next-gen AI chips, which underscores strong industry demand but also points to capacity constraints at TSMC.
• Negative Sentiment: Taiwan is weighing stricter export controls on advanced AI chips to China, a move that could reduce TSMC’s exposure to that market.
• Negative Sentiment: U.S. lawmakers are also pushing for tighter semiconductor trade rules involving Chinese firms, adding another regulatory risk for Taiwan Semiconductor Manufacturing.

Taiwan Semiconductor Manufacturing 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.

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