Taiwan Semiconductor Manufacturing Company Ltd. $TSM Stock Sold by Allen Investment Management LLC

Key Points

• Allen Investment Management cut its TSMC stake by 2.4% in the third quarter, selling 15,108 shares; it retained 626,949 shares valued at about $286 million, its eighth-largest holding.
• Other institutional investors increased holdings, and TSMC vice president Lipen Yuan bought 1,000 shares. Insiders have purchased 5,428 shares over the past 90 days.
• TSMC beat quarterly earnings and revenue estimates, with revenue up 41.2% year over year; analysts’ consensus rating is “Buy.” The company also reduced its quarterly dividend to $1.0854 per share from $1.1136.

Allen Investment Management LLC trimmed its stake in Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM - Free Report) by 2.4% in the third quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 626,949 shares of the semiconductor company's stock after selling 15,108 shares during the quarter. Taiwan Semiconductor Manufacturing makes up about 3.2% of Allen Investment Management LLC's portfolio, making the stock its 8th biggest holding. Allen Investment Management LLC's holdings in Taiwan Semiconductor Manufacturing were worth $286,008,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other hedge funds have also recently bought and sold shares of TSM. Tiger Global Management LLC lifted its stake in Taiwan Semiconductor Manufacturing by 49.4% in the first quarter. Tiger Global Management LLC now owns 5,565,074 shares of the semiconductor company's stock valued at $1,880,717,000 after acquiring an additional 1,839,600 shares during the last quarter. Sei Investments Co. grew its position in shares of Taiwan Semiconductor Manufacturing by 11.8% in the 1st quarter. Sei Investments Co. now owns 2,591,510 shares of the semiconductor company's stock valued at $875,802,000 after acquiring an additional 274,389 shares during the period. Assenagon Asset Management S.A. increased its stake in shares of Taiwan Semiconductor Manufacturing by 67.2% during the 3rd quarter. Assenagon Asset Management S.A. now owns 1,717,515 shares of the semiconductor company's stock worth $783,513,000 after purchasing an additional 690,523 shares during the last quarter. Bessemer Group Inc. increased its stake in shares of Taiwan Semiconductor Manufacturing by 7.9% during the 1st quarter. Bessemer Group Inc. now owns 1,781,764 shares of the semiconductor company's stock worth $602,147,000 after purchasing an additional 130,602 shares during the last quarter. Finally, Bank Julius Baer & Co. Ltd Zurich increased its stake in shares of Taiwan Semiconductor Manufacturing by 25.1% during the 3rd quarter. Bank Julius Baer & Co. Ltd Zurich now owns 1,210,323 shares of the semiconductor company's stock worth $552,116,000 after purchasing an additional 242,640 shares during the last quarter. 16.51% of the stock is currently owned by institutional investors.

Insider Activity at Taiwan Semiconductor Manufacturing

In related news, VP Lipen Yuan bought 1,000 shares of Taiwan Semiconductor Manufacturing stock in a transaction that occurred on Sunday, November 1st. The stock was acquired at an average price of $71.49 per share, with a total value of $71,490.00. Following the acquisition, the vice president owned 8,000 shares of the company's stock, valued at approximately $571,920. This represents a 14.29% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Over the last ninety days, insiders have bought 5,428 shares of company stock worth $411,021. Insiders own 1.11% of the company's stock.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently issued reports on the stock. Wall Street Zen cut shares of Taiwan Semiconductor Manufacturing from a "strong-buy" rating to a "buy" rating in a report on Saturday, August 8th. Needham & Company LLC lifted their price target on Taiwan Semiconductor Manufacturing from $530.00 to $560.00 and gave the stock a "buy" rating in a report on Thursday, October 15th. TD Cowen lifted their price target on Taiwan Semiconductor Manufacturing from $400.00 to $440.00 and gave the stock a "hold" rating in a report on Friday, July 17th. Susquehanna boosted their price target on Taiwan Semiconductor Manufacturing from $575.00 to $600.00 and gave the stock a "positive" rating in a research report on Thursday, July 16th. Finally, Weiss Ratings lowered Taiwan Semiconductor Manufacturing from a "buy (b)" rating to a "hold (c+)" rating in a research note on Wednesday. Three 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 company's stock. According to data from MarketBeat, Taiwan Semiconductor Manufacturing has a consensus rating of "Buy" and an average price target of $533.89.

Taiwan Semiconductor Manufacturing News Summary

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 Trading Up 6.2%

Shares of Taiwan Semiconductor Manufacturing stock opened at $375.15 on Friday. The company has a debt-to-equity ratio of 0.14, a current ratio of 2.46 and a quick ratio of 2.25. The business has a fifty day simple moving average of $431.68 and a two-hundred day simple moving average of $400.77. Taiwan Semiconductor Manufacturing Company Ltd. has a 1 year low of $266.82 and a 1 year high of $487.47. The company has a market capitalization of $1.95 trillion, a price-to-earnings ratio of 24.14, a P/E/G ratio of 0.76 and a beta of 1.44.

Taiwan Semiconductor Manufacturing (NYSE:TSM - Get Free Report) last released its quarterly earnings data on Thursday, October 15th. The semiconductor company reported $4.60 EPS for the quarter, beating the consensus estimate of $4.45 by $0.15. The firm had revenue of $46.72 billion for the quarter, compared to the consensus estimate of $45.67 billion. Taiwan Semiconductor Manufacturing had a net margin of 51.51% and a return on equity of 42.84%. The company's quarterly revenue was up 41.2% on a year-over-year basis. During the same period in the previous year, the company earned $2.92 earnings per share. Research analysts forecast that Taiwan Semiconductor Manufacturing Company Ltd. will post 17.07 EPS for the current year.

Taiwan Semiconductor Manufacturing Cuts Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, January 7th. Investors of record on Thursday, December 10th will be issued a dividend of $1.0854 per share. This represents a $4.34 annualized dividend and a dividend yield of 1.2%. The ex-dividend date of this dividend is Thursday, December 10th. This is a negative change from Taiwan Semiconductor Manufacturing's previous quarterly dividend of $1.1136. Taiwan Semiconductor Manufacturing's payout ratio is presently 22.27%.

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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