Taiwan Semiconductor Manufacturing Company Ltd. $TSM Stock Acquired by Ethic Inc.

Key Points

• Ethic Inc. increased its TSMC stake by 7.7% in the third quarter, adding 7,756 shares to reach 108,309 shares valued at about $49.4 million. Several other institutional investors also raised their holdings.
• TSMC beat quarterly earnings and revenue estimates, reporting EPS of $4.60 and revenue of $46.72 billion; revenue rose 41.2% year over year. Analysts’ consensus rating was “Buy,” with an average price target of $533.89.
• The company announced a lower quarterly dividend of $1.0854 per share, down from $1.1136. TSMC vice president Lipen Yuan also bought 1,000 shares, and insiders purchased 5,428 shares over the past 90 days.

Ethic Inc. raised its holdings in shares of Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM - Free Report) by 7.7% during the third quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 108,309 shares of the semiconductor company's stock after acquiring an additional 7,756 shares during the quarter. Taiwan Semiconductor Manufacturing comprises approximately 0.5% of Ethic Inc.'s portfolio, making the stock its 25th biggest holding. Ethic Inc.'s holdings in Taiwan Semiconductor Manufacturing were worth $49,409,000 as of its most recent SEC filing.

Several other institutional investors have also recently made changes to their positions in TSM. StoneX Group Inc. grew its position in shares of Taiwan Semiconductor Manufacturing by 27.6% in the third quarter. StoneX Group Inc. now owns 7,895 shares of the semiconductor company's stock valued at $3,496,000 after purchasing an additional 1,708 shares in the last quarter. Kornitzer Capital Management Inc. KS raised its stake in shares of Taiwan Semiconductor Manufacturing by 14.4% during the 3rd quarter. Kornitzer Capital Management Inc. KS now owns 131,339 shares of the semiconductor company's stock valued at $59,916,000 after purchasing an additional 16,488 shares during the period. Palisade Asset Management LLC purchased a new stake in Taiwan Semiconductor Manufacturing during the 3rd quarter worth about $200,000. Verus Capital Partners LLC lifted its holdings in Taiwan Semiconductor Manufacturing by 0.6% during the 3rd quarter. Verus Capital Partners LLC now owns 14,943 shares of the semiconductor company's stock worth $6,817,000 after purchasing an additional 89 shares in the last quarter. Finally, Investment Management Corp VA ADV lifted its holdings in Taiwan Semiconductor Manufacturing by 1.8% during the 3rd quarter. Investment Management Corp VA ADV now owns 1,695 shares of the semiconductor company's stock worth $773,000 after purchasing an additional 30 shares in the last quarter. Hedge funds and other institutional investors own 16.51% of the company's stock.

Insiders Place Their Bets

In other Taiwan Semiconductor Manufacturing news, VP Lipen Yuan bought 1,000 shares of the firm's stock in a transaction on Tuesday, August 18th. The shares were acquired at an average cost of $74.50 per share, for a total transaction of $74,500.00. Following the purchase, the vice president directly owned 6,000 shares of the company's stock, valued at $447,000. The trade was a 20.00% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. In the last 90 days, insiders bought 5,428 shares of company stock valued at $411,021. 1.11% of the stock is owned by corporate insiders.

Taiwan Semiconductor Manufacturing Stock Up 6.2%

TSM opened at $375.15 on Friday. The company has a fifty day moving average price of $431.68 and a 200-day moving average price of $400.77. The firm has a market capitalization of $1.95 trillion, a P/E ratio of 24.14, a price-to-earnings-growth ratio of 0.76 and a beta of 1.44. The company has a debt-to-equity ratio of 0.14, a current ratio of 2.46 and a quick ratio of 2.25. Taiwan Semiconductor Manufacturing Company Ltd. has a one year low of $266.82 and a one year high of $487.47.

Taiwan Semiconductor Manufacturing (NYSE:TSM - Get Free Report) last issued its quarterly earnings data on Thursday, October 15th. The semiconductor company reported $4.60 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $4.45 by $0.15. Taiwan Semiconductor Manufacturing had a return on equity of 42.84% and a net margin of 51.51%. The company had revenue of $46.72 billion for the quarter, compared to the consensus estimate of $45.67 billion. During the same quarter last year, the business posted $2.92 earnings per share. The firm's revenue was up 41.2% compared to the same quarter last year. Equities research analysts expect that Taiwan Semiconductor Manufacturing Company Ltd. will post 17.07 earnings per share for the current fiscal 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 given a dividend of $1.0854 per share. 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 yield of 1.2%. Taiwan Semiconductor Manufacturing's dividend payout ratio (DPR) is presently 22.07%.

Analysts Set New Price Targets

Several brokerages have commented on TSM. Needham & Company LLC raised their target price on Taiwan Semiconductor Manufacturing from $530.00 to $560.00 and gave the stock a "buy" rating in a research note on Thursday, October 15th. TD Cowen upped their price target on Taiwan Semiconductor Manufacturing from $400.00 to $440.00 and gave the company a "hold" rating in a research report on Friday, July 17th. Stifel Nicolaus assumed coverage on shares of Taiwan Semiconductor Manufacturing in a report on Tuesday, September 1st. They issued a "buy" rating and a $515.00 price target on the stock. Weiss Ratings downgraded shares of Taiwan Semiconductor Manufacturing from a "buy (b)" rating to a "hold (c+)" rating in a report on Wednesday. Finally, Barclays raised their price objective on shares of Taiwan Semiconductor Manufacturing from $665.00 to $670.00 and gave the company an "overweight" rating in a research report on Friday, October 16th. 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. According to data from MarketBeat, the stock currently has an average rating of "Buy" and an average price target of $533.89.

Trending Headlines about Taiwan Semiconductor Manufacturing

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

• Positive Sentiment: Taiwan tightened short-selling rules and prepared a reported $15 billion fund to support its markets, helping lift TSMC shares in premarket trading after the regional chip rout. Benzinga article
• Positive Sentiment: Nvidia reportedly wants TSMC to make advanced memory chips. If TSMC pursues the opportunity, it could broaden its role in AI hardware and deepen ties with a major customer; the report describes a possibility, not a confirmed project. TipRanks article
• Positive Sentiment: Sanford C. Bernstein raised its price target to $600 from $554 and reiterated an “outperform” rating, signaling confidence in TSMC’s prospects despite the recent sector weakness. MarketBeat analyst update
• Neutral Sentiment: TSMC’s position as a leading manufacturer for Nvidia, AMD and other chip designers supports exposure to AI demand across competing customers. Some coverage also argues the shares trade below their usual valuation range, though that does not ensure a near-term recovery. The Motley Fool article
• Negative Sentiment: The rebound follows a steep regional chip-stock selloff amid worries about AI valuations, spending expectations and growth. That market-wide pressure could keep TSM volatile even as its manufacturing business benefits from AI demand. 24/7 Wall St. article

Taiwan Semiconductor Manufacturing Profile

Taiwan Semiconductor Manufacturing Company (TSMC) is a semiconductor foundry that manufactures chips designed by other companies. It provides wafer fabrication and related services, including advanced packaging, serving customers across industries such as computing, communications, automotive and consumer electronics.

Founded in 1987 and headquartered in Hsinchu, Taiwan, TSMC helped establish the dedicated foundry model, in which a manufacturer focuses on producing semiconductors for customers rather than selling its own chip designs.

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