BayBridge Capital Group LLC Reduces Position in Taiwan Semiconductor Manufacturing Company Ltd. $TSM

Key Points

• BayBridge Capital Group cut its TSMC position by 46.5% in the second quarter, selling 3,024 shares and retaining 3,484 shares valued at approximately $1.66 million. Institutional investors collectively own 16.51% of the company.
• TSMC continues to benefit from strong AI-related demand, including potential orders for Nvidia’s next-generation 2-nanometer chips and advanced packaging. The company also committed $4.69 billion with Sony to build a new image-sensor plant in Japan.
• Analysts remain broadly bullish, with a consensus “Buy” rating and a $524.25 price target, but risks include SoftBank’s sale of 71.5% of its TSMC holdings and concerns that elevated semiconductor valuations may leave the stock vulnerable to profit-taking.

BayBridge Capital Group LLC trimmed its position in Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM - Free Report) by 46.5% during the 2nd quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 3,484 shares of the semiconductor company's stock after selling 3,024 shares during the period. Taiwan Semiconductor Manufacturing accounts for approximately 0.9% of BayBridge Capital Group LLC's investment portfolio, making the stock its 27th biggest holding. BayBridge Capital Group LLC's holdings in Taiwan Semiconductor Manufacturing were worth $1,664,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors have also recently made changes to their positions in the business. Quattro Advisors LLC purchased a new stake in Taiwan Semiconductor Manufacturing in the fourth quarter valued at $25,000. Hilton Head Capital Partners LLC acquired a new stake in Taiwan Semiconductor Manufacturing during the 4th quarter worth about $27,000. Strategic Advocates LLC raised 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 valued at $28,000 after buying an additional 36 shares during the last quarter. Ares Financial Consulting LLC purchased a new position in shares of Taiwan Semiconductor Manufacturing during the 4th quarter valued at about $29,000. Finally, Basepoint Wealth LLC acquired a new position in shares of Taiwan Semiconductor Manufacturing in the 4th quarter valued at about $31,000. Institutional investors and hedge funds own 16.51% of the company's stock.

Taiwan Semiconductor Manufacturing News Summary

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

• Positive Sentiment: TSMC remains a key beneficiary of the AI boom. Nvidia is reportedly accelerating development of its next-generation Feynman platform, which could increase demand for TSMC’s 2-nanometer chips and advanced packaging capacity. Nvidia’s Next-Gen Feynman AI Platform Is Ramping Up
• Positive Sentiment: TSMC and Sony committed $4.69 billion to a new CMOS image-sensor plant in Kumamoto, Japan, with production targeted for 2029 and support from Japanese government subsidies. The project could broaden TSMC’s geographic footprint and strengthen its relationship with a major customer. Sony and TSMC’s $4.7 Billion Venture
• Positive Sentiment: Several institutional investors expressed confidence in TSMC: Causeway Capital increased its position, while Perseverance Asset Management International also raised its stake. Analysts including Sanford C. Bernstein continue to forecast meaningful appreciation. Causeway Capital Boosts TSMC Stake
• Neutral Sentiment: TSMC filed reviewed interim financial statements with the SEC. The filing provides updated regulatory disclosure but, based on the available report, does not identify a material change to the company’s outlook. TSMC Files Reviewed Interim Financials
• Negative Sentiment: SoftBank disclosed that it sold 71.5% of its TSMC holdings during the second quarter. Although the sale may reflect portfolio management rather than a change in fundamentals, it creates near-term overhang and may weigh on sentiment. SoftBank Sells Most of Its Taiwan Semiconductor Holdings
• Negative Sentiment: Investors are increasingly concerned that strong earnings may already be reflected in chip valuations, while Fidelity has warned that the semiconductor cycle could be nearing a peak. Those concerns are particularly relevant for TSMC, whose valuation and recent gains leave the stock vulnerable to profit-taking. Analyst Sees Trouble Brewing for Hot Chip Stocks

Insider Buying and Selling

In other Taiwan Semiconductor Manufacturing news, VP Bor-Zen Tien acquired 3,000 shares of the company's stock in a transaction dated Tuesday, July 21st. The shares were acquired at an average price of $74.39 per share, for a total transaction of $223,170.00. Following the acquisition, the vice president owned 4,000 shares in the company, valued at $297,560. The trade was a 300.00% increase in their position. The purchase was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, VP Tzu-Sou Chuang sold 200,000 shares of the business's stock in a transaction on Tuesday, May 19th. The shares were 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 ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders acquired 18,312 shares of company stock valued at $1,347,058. Corporate insiders own 1.11% of the company's stock.

Taiwan Semiconductor Manufacturing Price Performance

Shares of TSM stock opened at $426.67 on Friday. Taiwan Semiconductor Manufacturing Company Ltd. has a 12 month low of $223.70 and a 12 month high of $479.00. The company has a market capitalization of $2.21 trillion, a PE ratio of 30.78, a price-to-earnings-growth ratio of 0.99 and a beta of 1.38. The firm's 50-day moving average is $425.97 and its two-hundred day moving average is $390.38. The company has a debt-to-equity ratio of 0.13, a current ratio of 2.46 and a quick ratio of 2.25.

Taiwan Semiconductor Manufacturing (NYSE:TSM - Get Free Report) last posted its earnings results on Tuesday, June 30th. The semiconductor company reported $4.28 EPS for the quarter. The company had revenue of $39.89 billion for the quarter. Taiwan Semiconductor Manufacturing had a net margin of 50.31% and a return on equity of 39.37%. Analysts predict that Taiwan Semiconductor Manufacturing Company Ltd. will post 16.44 earnings per share for the current year.

Taiwan Semiconductor Manufacturing Cuts Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, January 7th. Stockholders of record on Thursday, December 10th will be paid a $1.0854 dividend. This represents a $4.34 annualized dividend and a dividend yield of 1.0%. The ex-dividend date is Thursday, December 10th. Taiwan Semiconductor Manufacturing's dividend payout ratio (DPR) is presently 21.43%.

Wall Street Analysts Forecast Growth

A number of brokerages have recently commented on TSM. Bank of America raised their price objective on shares of Taiwan Semiconductor Manufacturing from $490.00 to $590.00 and gave the stock a "buy" rating in a research note on Wednesday, June 24th. Sanford C. Bernstein boosted their target price on shares of Taiwan Semiconductor Manufacturing from $430.00 to $554.00 and gave the company an "outperform" rating in a research note on Tuesday. Zacks Research raised shares of Taiwan Semiconductor Manufacturing from a "hold" rating to a "strong-buy" rating in a report on Thursday, July 16th. Citigroup reissued a "buy" rating on shares of Taiwan Semiconductor Manufacturing in a report on Monday, July 6th. Finally, Barclays raised their price target on shares of Taiwan Semiconductor Manufacturing from $625.00 to $650.00 and gave the company an "overweight" rating in a research report on Friday, July 17th. Three equities research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating and two have issued a Hold rating to the company's stock. Based on data from MarketBeat, the stock currently has an average rating of "Buy" and a consensus price target of $524.25.

About Taiwan Semiconductor Manufacturing

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.

Want to see what other hedge funds are holding TSM? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source