Taiwan Semiconductor Manufacturing Company Ltd. $TSM Holdings Decreased by Metropolis Capital Ltd

Key Points

• Metropolis Capital Ltd. reduced its TSMC position by 8.1% in the third quarter, selling 7,023 shares and retaining 80,212 shares valued at approximately $36.6 million. Institutional investors and hedge funds collectively own 16.51% of the company.
• TSMC reported strong results and raised its outlook as demand for advanced chips remains robust, with high-performance computing accounting for about 68% of quarterly revenue. Nvidia’s reported plans to use TSMC’s 3-nanometer process for next-generation HBM base dies could further strengthen its AI-chip position.
• TSM shares rose 1.6% to $426.83, while analysts maintained a broadly positive view, with a consensus “Buy” rating and an average price target of $528.78. Risks include AI-stock volatility, U.S. fab expansion costs, and potential margin pressure from the 2-nanometer technology ramp.

Metropolis Capital Ltd reduced its position in shares of Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM - Free Report) by 8.1% during the 3rd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 80,212 shares of the semiconductor company's stock after selling 7,023 shares during the period. Taiwan Semiconductor Manufacturing comprises 1.0% of Metropolis Capital Ltd's investment portfolio, making the stock its 15th largest holding. Metropolis Capital Ltd's holdings in Taiwan Semiconductor Manufacturing were worth $36,592,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds also recently made changes to their positions in TSM. Fiduciary Advisors Inc. boosted its position in Taiwan Semiconductor Manufacturing by 200.0% during the 3rd quarter. Fiduciary Advisors Inc. now owns 60 shares of the semiconductor company's stock worth $27,000 after buying an additional 40 shares during the period. Evolution Wealth Management Inc. grew its holdings in Taiwan Semiconductor Manufacturing by 257.7% during the 1st quarter. Evolution Wealth Management Inc. now owns 93 shares of the semiconductor company's stock worth $31,000 after acquiring an additional 67 shares during the last quarter. Cedar Mountain Advisors LLC increased its position in Taiwan Semiconductor Manufacturing by 88.2% in the 2nd quarter. Cedar Mountain Advisors LLC now owns 64 shares of the semiconductor company's stock valued at $31,000 after acquiring an additional 30 shares during the period. Financial Freedom LLC acquired a new position in Taiwan Semiconductor Manufacturing in the 1st quarter valued at approximately $32,000. Finally, Markowski Investments bought a new position in shares of Taiwan Semiconductor Manufacturing during the second quarter valued at $33,000. 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’s latest results were described as another blowout quarter, with management raising its outlook as demand for advanced chips continues to exceed available capacity. High-performance computing reportedly generated about 68% of quarterly revenue, underscoring the company’s exposure to AI data-center spending. The Most Important Number in Taiwan Semiconductor's Earnings Report Was 68%
• Positive Sentiment: Analysts and financial commentators continue to view TSMC as a major long-term beneficiary of the AI buildout, citing its leadership in advanced-node foundry manufacturing and strong data-center demand. Several reports characterize the recent pullback as a buying opportunity, and Zacks upgraded TSM to a No. 1, or Strong Buy, ranking. TSMC Upgraded to Strong Buy
• Positive Sentiment: Reported plans for Nvidia’s next-generation high-bandwidth-memory base dies to use TSMC’s 3-nanometer process could strengthen the foundry’s strategic role in AI chips. Broader growth forecasts for FinFET, 3D integrated circuits, and wafer-foundry services also point to expanding demand for TSMC’s manufacturing capabilities. Nvidia Wants Top Memory Makers to Use TSMC for Next-Gen HBM Base Dies
• Neutral Sentiment: TSMC is investing billions to expand production in the United States. The investment supports customer diversification and long-term capacity growth, but overseas-fab construction and the ramp of newer 2-nanometer technology may temporarily pressure gross margins.
• Negative Sentiment: The broader AI-stock sell-off remains a risk. Concerns about AI financing, stretched valuations, and the unwinding of crowded semiconductor positions recently pressured TSMC despite management’s assessment that demand is “extremely robust.”

Insider Activity at Taiwan Semiconductor Manufacturing

In other Taiwan Semiconductor Manufacturing news, VP Lipen Yuan bought 350 shares of the stock in a transaction on Tuesday, August 18th. The stock was acquired at an average cost of $73.58 per share, for a total transaction of $25,753.00. Following the completion of the acquisition, the vice president owned 2,000 shares in the company, valued at $147,160. This trade represents a 21.21% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available at this link. Also, VP Bor-Zen Tien acquired 1,000 shares of the stock in a transaction dated Monday, August 3rd. The stock was bought at an average price of $73.06 per share, with a total value of $73,060.00. Following the purchase, the vice president directly owned 14,051 shares in the company, valued at $1,026,566.06. This represents a 7.66% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders have purchased 8,043 shares of company stock valued at $598,956 in the last ninety days. 1.11% of the stock is currently owned by insiders.

Taiwan Semiconductor Manufacturing Trading Up 1.6%

Shares of NYSE TSM traded up $6.61 during midday trading on Tuesday, reaching $426.83. The stock had a trading volume of 7,634,806 shares, compared to its average volume of 13,063,629. The firm has a market cap of $2.21 trillion, a price-to-earnings ratio of 27.49, a price-to-earnings-growth ratio of 0.85 and a beta of 1.37. Taiwan Semiconductor Manufacturing Company Ltd. has a twelve month low of $266.82 and a twelve month high of $487.47. The company has a debt-to-equity ratio of 0.14, a quick ratio of 2.25 and a current ratio of 2.46. The company's 50 day moving average price is $434.73 and its 200 day moving average price is $418.40.

Taiwan Semiconductor Manufacturing (NYSE:TSM - Get Free Report) last posted its quarterly earnings data on Tuesday, September 8th. The semiconductor company reported $4.62 earnings per share for the quarter. The firm had revenue of $46.87 billion during the quarter. Taiwan Semiconductor Manufacturing had a return on equity of 42.84% and a net margin of 51.51%. As a group, sell-side analysts expect that Taiwan Semiconductor Manufacturing Company Ltd. will post 16.90 EPS for the current year.

Taiwan Semiconductor Manufacturing Cuts Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, January 7th. Investors of record on Thursday, December 10th will be paid a dividend of $1.0854 per share. This is a decrease from Taiwan Semiconductor Manufacturing's previous quarterly dividend of $1.1136. This represents a $4.34 annualized dividend and a yield of 1.0%. The ex-dividend date of this dividend is Thursday, December 10th. Taiwan Semiconductor Manufacturing's payout ratio is 22.27%.

Wall Street Analysts Forecast Growth

A number of analysts recently weighed in on TSM shares. Barclays increased their price objective on Taiwan Semiconductor Manufacturing from $665.00 to $670.00 and gave the company an "overweight" rating in a report on Friday. Wall Street Zen downgraded Taiwan Semiconductor Manufacturing from a "strong-buy" rating to a "buy" rating in a report on Saturday, August 8th. Zacks Research upgraded Taiwan Semiconductor Manufacturing from a "hold" rating to a "strong-buy" rating in a research report on Thursday, July 16th. DA Davidson reissued a "buy" rating and issued a $500.00 price target on shares of Taiwan Semiconductor Manufacturing in a research note on Friday. Finally, Bank of America raised their price objective on Taiwan Semiconductor Manufacturing from $490.00 to $590.00 and gave the stock a "buy" rating in a research report on Wednesday, June 24th. Three equities research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating and two have given a Hold rating to the company's stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Buy" and an average price target of $528.78.

Taiwan Semiconductor Manufacturing Profile

Taiwan Semiconductor Manufacturing Company Limited NYSE: TSM, commonly known as TSMC, is a dedicated semiconductor foundry headquartered in Hsinchu, Taiwan. The company manufactures integrated circuits for customers that design their own chips, allowing semiconductor, electronics, and technology companies to outsource production rather than operate their own fabrication facilities.

TSMC provides wafer fabrication services across a broad range of process technologies, including advanced nodes used in high-performance computing, smartphones, automotive systems, and artificial intelligence applications.

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