Allen Investment Management LLC Purchases 59,475 Shares of Taiwan Semiconductor Manufacturing Company Ltd. $TSM

Key Points

• Allen Investment Management LLC increased its stake in Taiwan Semiconductor Manufacturing by 28.5% in the fourth quarter, buying 59,475 additional shares and bringing its total holding to 268,160 shares worth about $81.5 million.
• Broader institutional interest in TSMC remains strong, with several other hedge funds and asset managers adding positions; overall, institutional investors now own 16.51% of the company.
• TSMC continues to benefit from the AI chip boom, with analysts pointing to strong demand, possible price increases for 3nm chips, and deeper partnerships with Nvidia as key positives for revenue and margins.

Allen Investment Management LLC boosted its holdings in Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM - Free Report) by 28.5% in the fourth quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 268,160 shares of the semiconductor company's stock after buying an additional 59,475 shares during the period. Allen Investment Management LLC's holdings in Taiwan Semiconductor Manufacturing were worth $81,491,000 as of its most recent filing with the Securities and Exchange Commission.

Other institutional investors and hedge funds also recently made changes to their positions in the company. Shannon River Fund Management LLC purchased a new position in shares of Taiwan Semiconductor Manufacturing during the 3rd quarter worth approximately $2,430,000. Hantz Financial Services Inc. boosted its position in shares of Taiwan Semiconductor Manufacturing by 28.6% during the third quarter. Hantz Financial Services Inc. now owns 37,216 shares of the semiconductor company's stock valued at $10,394,000 after purchasing an additional 8,284 shares in the last quarter. Mitsubishi UFJ Morgan Stanley Securities Co. Ltd. purchased a new stake in Taiwan Semiconductor Manufacturing in the fourth quarter worth $961,000. Meridian Wealth Management LLC raised its holdings in Taiwan Semiconductor Manufacturing by 27.9% in the fourth quarter. Meridian Wealth Management LLC now owns 65,974 shares of the semiconductor company's stock worth $20,049,000 after purchasing an additional 14,406 shares in the last quarter. Finally, Boyer Financial Services Inc. bought a new stake in Taiwan Semiconductor Manufacturing during the fourth quarter worth about $648,000. Hedge funds and other institutional investors own 16.51% of the company's stock.

Taiwan Semiconductor Manufacturing News Roundup

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

• Positive Sentiment: Analysts and market commentary say TSMC stands to benefit whether hyperscalers stick with Nvidia GPUs or shift toward custom AI chips, because either path still requires TSMC’s foundry capacity. Hyperscalers Are Trying To Replace Nvidia's GPUs - TSMC Gets The Upside Either Way
• Positive Sentiment: Reports that TSMC may raise prices for 3nm chips suggest demand remains strong and supply remains tight, which is typically supportive for revenue and margins. TSMC's Price Hike Is Bad For Nvidia Margins — And Potentially Great For Nvidia Stock
• Positive Sentiment: NVIDIA disclosed that TSMC is expanding use of NVIDIA AI technologies across chip production operations, highlighting a deeper partnership and more AI-driven manufacturing activity. TSMC Expands Use of NVIDIA AI Technologies Across Chip Production Operations
• Positive Sentiment: Broader AI spending headlines continue to point to TSMC as a major beneficiary of semiconductor demand tied to Nvidia’s next-generation rollout and big-tech capex plans. Nvidia Says Big Tech Will Spend $1 Trillion in Capital Expenditures in 2027: 3 Stocks to Buy If It's Right
• Neutral Sentiment: Some coverage says TSMC shares may be overvalued after the recent rally, which could temper enthusiasm even as fundamentals remain strong. Is Taiwan Semiconductor Manufacturing Co Ltd (TSM) Overvalued After 4.1% Rally? GF Value Says Overvalued
• Neutral Sentiment: TSMC’s ADR premium fell to a two-year low as Taiwan-listed shares outperformed U.S.-listed ADRs, which is more of a market-structure note than a direct business concern. TSMC ADR Premium Falls To Two-Year Low As Taipei Shares Surge
• Negative Sentiment: One bearish investor update from Leopold Aschenbrenner and commentary about TSMC reducing its stake in Vanguard International Semiconductor may weigh on sentiment, though these items appear less important than the AI demand narrative. Taiwan Semiconductor Manufacturing (TSM): Leopold Aschenbrenner Takes Bearish View

Taiwan Semiconductor Manufacturing Trading Up 4.2%

Shares of TSM stock opened at $436.00 on Tuesday. The company has a current ratio of 2.49, a quick ratio of 2.31 and a debt-to-equity ratio of 0.16. The stock has a market capitalization of $2.26 trillion, a price-to-earnings ratio of 36.27, a price-to-earnings-growth ratio of 1.22 and a beta of 1.39. Taiwan Semiconductor Manufacturing Company Ltd. has a 12-month low of $192.20 and a 12-month high of $449.39. The stock's 50-day moving average price is $380.19 and its 200-day moving average price is $343.92.

Taiwan Semiconductor Manufacturing (NYSE:TSM - Get Free Report) last released its quarterly earnings results on Tuesday, February 10th. The semiconductor company reported $3.11 earnings per share for the quarter. Taiwan Semiconductor Manufacturing had a return on equity of 36.81% and a net margin of 46.97%.The business had revenue of $30.65 billion during the quarter. Equities research analysts predict that Taiwan Semiconductor Manufacturing Company Ltd. will post 15.28 EPS for the current fiscal year.

Taiwan Semiconductor Manufacturing Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, October 8th. Stockholders of record on Wednesday, September 16th will be given a dividend of $1.1136 per share. The ex-dividend date of this dividend is Wednesday, September 16th. This represents a $4.45 annualized dividend and a dividend yield of 1.0%. This is an increase from Taiwan Semiconductor Manufacturing's previous quarterly dividend of $0.95. Taiwan Semiconductor Manufacturing's dividend payout ratio is presently 25.04%.

Insider Activity at Taiwan Semiconductor Manufacturing

In related news, VP Tzu-Sou Chuang sold 200,000 shares of the firm's stock in a transaction that occurred on Tuesday, May 19th. The stock was sold at an average price of $69.83, for a total transaction of $13,966,000.00. Following the completion of the sale, the vice president directly owned 2,495,165 shares of the company's stock, valued at approximately $174,237,371.95. This trade represents a 7.42% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, VP Bor-Zen Tien acquired 2,000 shares of the company's stock in a transaction that occurred on Tuesday, May 19th. The stock was purchased at an average cost of $69.91 per share, for a total transaction of $139,820.00. Following the purchase, the vice president owned 11,051 shares of the company's stock, valued at $772,575.41. This represents a 22.10% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have acquired 3,346 shares of company stock valued at $218,005 in the last 90 days. Company insiders own 1.11% of the company's stock.

Analyst Ratings Changes

Several research firms have commented on TSM. Barclays boosted their target price on Taiwan Semiconductor Manufacturing from $450.00 to $470.00 and gave the stock an "overweight" rating in a report on Wednesday, April 22nd. Weiss Ratings upgraded Taiwan Semiconductor Manufacturing from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Friday, March 20th. DA Davidson reaffirmed a "buy" rating and set a $450.00 price target on shares of Taiwan Semiconductor Manufacturing in a report on Friday, April 17th. Needham & Company LLC lifted their price objective on Taiwan Semiconductor Manufacturing from $410.00 to $480.00 and gave the stock a "buy" rating in a report on Thursday, April 16th. Finally, Wedbush reissued an "outperform" rating on shares of Taiwan Semiconductor Manufacturing in a research report on Wednesday, February 11th. Two equities research analysts have rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and two have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the company has a consensus rating of "Buy" and an average target price of $404.29.

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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