Eldred Rock Partners LLC Decreases Stake in Taiwan Semiconductor Manufacturing Company Ltd. $TSM

Key Points

• Eldred Rock Partners cut its TSMC stake by 13.7% in the second quarter, selling 8,729 shares and retaining 54,902 shares worth approximately $26.2 million. TSMC remains the firm’s fourth-largest holding, representing 5.6% of its portfolio.
• Insiders have been buying TSMC shares: two vice presidents each purchased 1,000 shares, while insiders acquired 16,697 shares worth about $1.23 million over the past three months.
• TSMC’s outlook remains strong amid accelerating AI demand, with analysts broadly maintaining “Buy” ratings and an average price target of $496.25. The company also raised its quarterly dividend to $1.1136 per share.

Eldred Rock Partners LLC trimmed its stake in shares of Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM - Free Report) by 13.7% in the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 54,902 shares of the semiconductor company's stock after selling 8,729 shares during the quarter. Taiwan Semiconductor Manufacturing makes up about 5.6% of Eldred Rock Partners LLC's portfolio, making the stock its 4th largest holding. Eldred Rock Partners LLC's holdings in Taiwan Semiconductor Manufacturing were worth $26,220,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other hedge funds have also recently added to or reduced their stakes in the stock. Cedar Mountain Advisors LLC boosted its stake in shares of Taiwan Semiconductor Manufacturing by 88.2% during the second quarter. Cedar Mountain Advisors LLC now owns 64 shares of the semiconductor company's stock valued at $31,000 after purchasing an additional 30 shares in the last quarter. Quattro Advisors LLC acquired a new position in shares of Taiwan Semiconductor Manufacturing in the fourth quarter valued at approximately $25,000. Hilton Head Capital Partners LLC acquired a new position in shares of Taiwan Semiconductor Manufacturing in the fourth quarter valued at approximately $27,000. Evolution Wealth Management Inc. increased its stake in shares of Taiwan Semiconductor Manufacturing by 257.7% in the first quarter. Evolution Wealth Management Inc. now owns 93 shares of the semiconductor company's stock valued at $31,000 after buying an additional 67 shares during the period. Finally, Strategic Advocates LLC raised its holdings in Taiwan Semiconductor Manufacturing by 62.1% in 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. Institutional investors and hedge funds own 16.51% of the company's stock.

Insider Activity at Taiwan Semiconductor Manufacturing

In other Taiwan Semiconductor Manufacturing news, VP Lipen Yuan acquired 1,000 shares of Taiwan Semiconductor Manufacturing stock in a transaction on Monday, June 22nd. The stock was purchased at an average price of $79.19 per share, for a total transaction of $79,190.00. Following the purchase, the vice president directly owned 5,000 shares of the company's stock, valued at $395,950. This trade represents a 25.00% increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, VP Shyue-Shyh Lin bought 1,000 shares of the firm's stock in a transaction dated Tuesday, July 21st. The shares were acquired at an average cost of $74.13 per share, with a total value of $74,130.00. Following the completion of the transaction, the vice president owned 30,269 shares in the company, valued at approximately $2,243,840.97. The trade was a 3.42% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Over the last three months, insiders acquired 16,697 shares of company stock valued at $1,228,663. 1.11% of the stock is owned by insiders.

Key Stories Impacting Taiwan Semiconductor Manufacturing

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

• Positive Sentiment: TSMC raised its 2026 outlook as AI-related demand accelerated, reinforcing expectations for stronger revenue and earnings growth. Taiwan Semiconductor Manufacturing Company Raised Its 2026 Outlook as AI Demand Accelerated
• Positive Sentiment: A roughly $64 billion capital-spending plan signals that TSMC expects sustained demand for leading-edge chips; reports that capacity remains insufficient could support pricing power and long-term growth. TSMC’s $64 Billion Investment Signals Mega-Growth
• Positive Sentiment: Investment commentary describes TSMC as a critical bottleneck in the AI-chip supply chain, highlighting its strategic importance to chip designers and cloud companies. Could Taiwan Semiconductor Manufacturing Be the Most Critical Bottleneck in the AI Chip Boom?
• Positive Sentiment: Industry reports continue to point to semiconductor-sales growth driven by AI optimism, placing TSM among the companies positioned to benefit from the trend. Semiconductor Sales Continue to Grow on AI Optimism
• Positive Sentiment: ARK Invest founder Cathie Wood reportedly invested $28.7 million in TSMC, providing a notable vote of confidence from a high-profile technology investor. Cathie Wood Invests in TSMC
• Positive Sentiment: Recent analysis argues that TSMC’s latest results and scale leave Intel facing a widening competitive gap, easing concerns about near-term foundry competition. How Will Intel Really Be Able to Beat TSMC in the Next Year?
• Neutral Sentiment: First Eagle Investment Management trimmed 156,540 TSMC shares, indicating that at least one institutional investor is taking profits or rebalancing, though the transaction does not establish a broader selling trend. First Eagle Trims Shares of TSMC
• Neutral Sentiment: Broader market enthusiasm and heavy ETF inflows are supporting semiconductor valuations, but the same flows could increase volatility if investor sentiment reverses. ETF Inflows and Market Risk

Taiwan Semiconductor Manufacturing Stock Up 0.4%

TSM stock opened at $419.94 on Friday. The stock's 50 day simple moving average is $427.01 and its 200 day simple moving average is $387.09. Taiwan Semiconductor Manufacturing Company Ltd. has a fifty-two week low of $223.70 and a fifty-two week high of $479.00. The company has a debt-to-equity ratio of 0.13, a quick ratio of 2.25 and a current ratio of 2.46. The company has a market cap of $2.18 trillion, a P/E ratio of 30.30, a price-to-earnings-growth ratio of 0.96 and a beta of 1.38.

Taiwan Semiconductor Manufacturing (NYSE:TSM - Get Free Report) last released its quarterly earnings data on Tuesday, June 30th. The semiconductor company reported $4.28 earnings per share for the quarter. Taiwan Semiconductor Manufacturing had a net margin of 50.31% and a return on equity of 39.37%. The firm had revenue of $39.89 billion for the quarter. On average, research analysts expect that Taiwan Semiconductor Manufacturing Company Ltd. will post 16.44 earnings per share for the current fiscal year.

Taiwan Semiconductor Manufacturing Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, October 8th. Investors 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 is a positive change from Taiwan Semiconductor Manufacturing's previous quarterly dividend of $0.95. This represents a $4.45 dividend on an annualized basis and a dividend yield of 1.1%. Taiwan Semiconductor Manufacturing's dividend payout ratio (DPR) is 21.43%.

Wall Street Analysts Forecast Growth

TSM has been the topic of a number of research reports. DA Davidson upped their price target on shares of Taiwan Semiconductor Manufacturing from $450.00 to $500.00 and gave the company a "buy" rating in a research report on Friday, July 17th. Susquehanna lifted their price target on shares of Taiwan Semiconductor Manufacturing from $575.00 to $600.00 and gave the stock a "positive" rating in a report on Thursday, July 16th. Weiss Ratings raised shares of Taiwan Semiconductor Manufacturing from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Tuesday, July 28th. Needham & Company LLC increased their price objective on Taiwan Semiconductor Manufacturing from $480.00 to $530.00 and gave the company a "buy" rating in a report on Monday, July 27th. Finally, Barclays raised their target price on Taiwan Semiconductor Manufacturing from $625.00 to $650.00 and gave the stock an "overweight" rating in a research report on Friday, July 17th. Three analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat.com, Taiwan Semiconductor Manufacturing currently has an average rating of "Buy" and an average price target of $496.25.

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.

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