Taiwan Semiconductor Manufacturing Company Ltd. $TSM Shares Bought by Blue Grotto Capital LLC

Key Points

• Blue Grotto Capital increased its stake in Taiwan Semiconductor Manufacturing by 20.4% in the fourth quarter, bringing its holding to 169,896 shares worth about $51.6 million.
• Other large institutional investors also added to TSM positions, and 16.51% of the stock is now owned by institutions and hedge funds, signaling continued broad investor interest.
• TSMC’s fundamentals and outlook remain strong: the company reported solid quarterly results, raised its dividend to $1.1136 per share, and analysts largely rate the stock a Buy with a consensus target price of $404.29.

Blue Grotto Capital LLC grew its position in Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM - Free Report) by 20.4% in the 4th quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor owned 169,896 shares of the semiconductor company's stock after buying an additional 28,794 shares during the quarter. Taiwan Semiconductor Manufacturing accounts for about 5.3% of Blue Grotto Capital LLC's portfolio, making the stock its 8th largest holding. Blue Grotto Capital LLC's holdings in Taiwan Semiconductor Manufacturing were worth $51,630,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors also recently made changes to their positions in the company. Fisher Asset Management LLC raised its position in shares of Taiwan Semiconductor Manufacturing by 1.8% in the 4th quarter. Fisher Asset Management LLC now owns 18,146,900 shares of the semiconductor company's stock valued at $5,514,662,000 after buying an additional 313,773 shares in the last quarter. Van ECK Associates Corp raised its position in shares of Taiwan Semiconductor Manufacturing by 11.1% in the 4th quarter. Van ECK Associates Corp now owns 17,464,962 shares of the semiconductor company's stock valued at $5,307,428,000 after buying an additional 1,750,824 shares in the last quarter. Bank of America Corp DE raised its position in shares of Taiwan Semiconductor Manufacturing by 0.9% in the 3rd quarter. Bank of America Corp DE now owns 14,935,893 shares of the semiconductor company's stock valued at $4,171,445,000 after buying an additional 130,173 shares in the last quarter. Jennison Associates LLC raised its position in shares of Taiwan Semiconductor Manufacturing by 6.4% in the 4th quarter. Jennison Associates LLC now owns 13,394,299 shares of the semiconductor company's stock valued at $4,070,393,000 after buying an additional 802,757 shares in the last quarter. Finally, Alliancebernstein L.P. raised its position in shares of Taiwan Semiconductor Manufacturing by 2.2% in the 3rd quarter. Alliancebernstein L.P. now owns 10,687,037 shares of the semiconductor company's stock valued at $2,984,783,000 after buying an additional 229,237 shares in the last quarter. 16.51% of the stock is currently owned by institutional investors and hedge funds.

Insider Activity at Taiwan Semiconductor Manufacturing

In related news, 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 acquired at an average price of $69.91 per share, with a total value of $139,820.00. Following the purchase, the vice president directly 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. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. Also, VP Tzu-Sou Chuang sold 200,000 shares of the business'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 sale, the vice president directly owned 2,495,165 shares in the company, valued at $174,237,371.95. The trade was a 7.42% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders purchased 3,496 shares of company stock valued at $229,407. 1.11% of the stock is owned by insiders.

Taiwan Semiconductor Manufacturing Price Performance

Shares of NYSE:TSM opened at $440.35 on Tuesday. The company has a market cap of $2.28 trillion, a price-to-earnings ratio of 36.64, a PEG ratio of 1.24 and a beta of 1.39. The company has a debt-to-equity ratio of 0.16, a current ratio of 2.49 and a quick ratio of 2.31. The firm has a 50 day simple moving average of $399.06 and a 200 day simple moving average of $354.27. Taiwan Semiconductor Manufacturing Company Ltd. has a one year low of $206.20 and a one year high of $450.16.

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

Taiwan Semiconductor Manufacturing Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, October 8th. Investors of record on Wednesday, September 16th will be paid a $1.1136 dividend. This represents a $4.45 annualized dividend and a yield of 1.0%. 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. Taiwan Semiconductor Manufacturing's payout ratio is currently 25.12%.

Analysts Set New Price Targets

Several equities analysts have recently commented on TSM shares. Barclays boosted their target price on shares of Taiwan Semiconductor Manufacturing from $450.00 to $470.00 and gave the company an "overweight" rating in a research report on Wednesday, April 22nd. Wall Street Zen upgraded shares of Taiwan Semiconductor Manufacturing from a "hold" rating to a "buy" rating in a research report on Sunday, March 22nd. Needham & Company LLC upped 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 report on Thursday, April 16th. Weiss Ratings raised shares of Taiwan Semiconductor Manufacturing from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Friday, March 20th. Finally, DA Davidson reissued a "buy" rating and issued a $450.00 price objective on shares of Taiwan Semiconductor Manufacturing in a research note on Friday, April 17th. Two equities research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating and two have assigned a Hold rating to the company's stock. According to MarketBeat, the stock presently has a consensus rating of "Buy" and an average target price of $404.29.

Key Headlines Impacting Taiwan Semiconductor Manufacturing

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

• Positive Sentiment: TSMC’s May revenue reportedly surged 30%, reinforcing the idea that AI chip demand remains intense and that the company is still seeing strong order flow. TSMC Revenue Surges 30% in May on Relentless AI Demand. TSM Stock Is Still Undervalued Here.
• Positive Sentiment: Commentary around AI chip demand and expansion plans suggests TSMC’s fabrication capacity remains tight, with its Arizona plant booked through 2027 and customers still placing orders above current output. TSMC Stock (TSM) Opinions on AI Chip Demand and Expansion Plans
• Positive Sentiment: Broader semiconductor enthusiasm is also supporting the stock, with ETF trading activity showing investors continue to pile into the chip sector as an AI trade. Semiconductor ETFs Now Dominate the Most-Traded List — A Signal You Can't Ignore
• Neutral Sentiment: Market commentary continues to frame TSMC as one of the main beneficiaries of AI spending, with analysts debating valuation rather than questioning demand. TSMC NYSE: TSM Stock Weighing AI Momentum Against A 6% Overvaluation Narrative
• Neutral Sentiment: Recent articles on ETF ideas and long-term AI stock picks are mostly thematic and do not provide a company-specific catalyst for TSMC. Best ETF Ideas for the Rest of 2026 3 AI Stocks Poised for Long-Term Gains Despite Strong Year-To-Date Performance
• Negative Sentiment: Reports that Google may explore Samsung for AI chip production highlight potential competition for TSMC in some advanced AI manufacturing work, even though the broader demand backdrop remains strong. MediaTek’s AI Pivot and Google’s Samsung Partnership: Inside the TSMC Capacity Squeeze

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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