Taiwan Semiconductor Manufacturing Company Ltd. $TSM Shares Sold by Prime Capital Investment Advisors LLC

Key Points

• Prime Capital Investment Advisors LLC reduced its TSMC stake by 8% in the third quarter, selling 6,503 shares and retaining 74,695 shares valued at approximately $34.1 million.
• Institutional sentiment was mixed, with several major investors—including Tiger Global and Assenagon Asset Management—adding to their positions. Overall, institutional investors and hedge funds own 16.51% of TSMC.
• TSMC continues to benefit from strong AI and advanced-chip demand, while analysts maintain a consensus “Buy” rating and an average price target of $528.78. The company’s quarterly dividend was reduced to $1.0854 per share, yielding about 1.0%.

Prime Capital Investment Advisors LLC trimmed its stake in Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM - Free Report) by 8.0% during the third quarter, according to its most recent 13F filing with the SEC. The institutional investor owned 74,695 shares of the semiconductor company's stock after selling 6,503 shares during the period. Prime Capital Investment Advisors LLC's holdings in Taiwan Semiconductor Manufacturing were worth $34,075,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Tiger Global Management LLC boosted its position in Taiwan Semiconductor Manufacturing by 49.4% during the first quarter. Tiger Global Management LLC now owns 5,565,074 shares of the semiconductor company's stock worth $1,880,717,000 after purchasing an additional 1,839,600 shares during the period. Sei Investments Co. raised its position in shares of Taiwan Semiconductor Manufacturing by 11.8% in the first quarter. Sei Investments Co. now owns 2,591,510 shares of the semiconductor company's stock valued at $875,802,000 after purchasing an additional 274,389 shares during the period. Bessemer Group Inc. raised its position in shares of Taiwan Semiconductor Manufacturing by 7.9% in the first quarter. Bessemer Group Inc. now owns 1,781,764 shares of the semiconductor company's stock valued at $602,147,000 after purchasing an additional 130,602 shares during the period. Assenagon Asset Management S.A. lifted its stake in shares of Taiwan Semiconductor Manufacturing by 67.2% in the third quarter. Assenagon Asset Management S.A. now owns 1,717,515 shares of the semiconductor company's stock worth $783,513,000 after buying an additional 690,523 shares during the last quarter. Finally, AMF Tjanstepension AB lifted its stake in shares of Taiwan Semiconductor Manufacturing by 6.4% in the first quarter. AMF Tjanstepension AB now owns 1,632,738 shares of the semiconductor company's stock worth $551,784,000 after buying an additional 98,123 shares during the last quarter. 16.51% of the stock is currently owned by institutional investors and hedge funds.

Taiwan Semiconductor Manufacturing News Roundup

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.”

Analysts Set New Price Targets

Several analysts recently issued reports on TSM shares. Susquehanna upped their price objective 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. Bank of America lifted their target price on shares of Taiwan Semiconductor Manufacturing from $490.00 to $590.00 and gave the stock a "buy" rating in a report on Wednesday, June 24th. Stifel Nicolaus initiated coverage on shares of Taiwan Semiconductor Manufacturing in a report on Tuesday, September 1st. They issued a "buy" rating and a $515.00 target price on the stock. TD Cowen boosted their target price on shares of Taiwan Semiconductor Manufacturing from $400.00 to $440.00 and gave the stock a "hold" rating in a research report on Friday, July 17th. Finally, Needham & Company LLC upped their price target on shares of Taiwan Semiconductor Manufacturing from $530.00 to $560.00 and gave the company a "buy" rating in a report on Thursday, October 15th. Three research analysts have rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and two have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Buy" and a consensus target price of $528.78.

Taiwan Semiconductor Manufacturing Stock Performance

TSM traded up $6.60 during midday trading on Tuesday, reaching $426.82. The company's stock had a trading volume of 7,634,806 shares, compared to its average volume of 13,063,629. The stock has a market cap of $2.21 trillion, a P/E ratio of 27.49, a PEG ratio of 0.85 and a beta of 1.37. The company has a fifty day simple moving average of $434.73 and a 200 day simple moving average of $418.40. The company has a current ratio of 2.46, a quick ratio of 2.25 and a debt-to-equity ratio of 0.14. Taiwan Semiconductor Manufacturing Company Ltd. has a twelve month low of $266.82 and a twelve month high of $487.47.

Taiwan Semiconductor Manufacturing (NYSE:TSM - Get Free Report) last issued its quarterly earnings results on Tuesday, September 8th. The semiconductor company reported $4.62 EPS for the quarter. Taiwan Semiconductor Manufacturing had a return on equity of 42.84% and a net margin of 51.51%. The company had revenue of $46.87 billion for the quarter. Research analysts expect that Taiwan Semiconductor Manufacturing Company Ltd. will post 16.90 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. The ex-dividend date is Thursday, December 10th. This is a negative change from Taiwan Semiconductor Manufacturing's previous quarterly dividend of $1.1136. This represents a $4.34 annualized dividend and a dividend yield of 1.0%. Taiwan Semiconductor Manufacturing's dividend payout ratio is 22.27%.

Insiders Place Their Bets

In related news, VP Lipen Yuan bought 1,000 shares of the company's stock in a transaction that occurred on Tuesday, August 18th. The shares were acquired at an average price of $74.50 per share, with a total value of $74,500.00. Following the completion of the transaction, the vice president owned 6,000 shares of the company's stock, valued at $447,000. The trade was a 20.00% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, VP Bor-Zen Tien bought 1,000 shares of the business's stock in a transaction that occurred on Monday, August 3rd. The shares were bought at an average price of $73.06 per share, with a total value of $73,060.00. Following the completion of the purchase, the vice president owned 14,051 shares in the company, valued at approximately $1,026,566.06. The trade was 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 worth $598,956 in the last ninety days. 1.11% of the stock is currently owned by insiders.

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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