Vaughan Nelson Investment Management L.P. Has $230.95 Million Position in Taiwan Semiconductor Manufacturing Company Ltd. $TSM

Key Points

• Vaughan Nelson Investment Management reduced its TSMC position by 5.2% in the second quarter, selling 26,795 shares but retaining 483,590 shares valued at approximately $230.95 million.
• Institutional ownership remains significant, with several funds increasing their stakes. Analysts maintain a consensus “Buy” rating and a $524.25 target price, despite one downgrade to “Hold.”
• TSMC reported quarterly revenue of $39.89 billion, EPS of $4.28, and a 50.31% net margin. The company also declared a quarterly dividend of $1.0854 per share, while AI-driven chip demand continues to support its outlook amid valuation and semiconductor-cycle concerns.

Vaughan Nelson Investment Management L.P. trimmed its position in Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM - Free Report) by 5.2% during the second quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 483,590 shares of the semiconductor company's stock after selling 26,795 shares during the quarter. Taiwan Semiconductor Manufacturing accounts for 2.0% of Vaughan Nelson Investment Management L.P.'s holdings, making the stock its 4th largest holding. Vaughan Nelson Investment Management L.P.'s holdings in Taiwan Semiconductor Manufacturing were worth $230,948,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Midwest Financial Partners Investments Inc. bought a new position in shares of Taiwan Semiconductor Manufacturing in the 2nd quarter valued at $280,000. Highline Wealth Partners LLC lifted its position in shares of Taiwan Semiconductor Manufacturing by 4.2% during the 2nd quarter. Highline Wealth Partners LLC now owns 2,427 shares of the semiconductor company's stock worth $1,159,000 after buying an additional 97 shares during the last quarter. City National Bank of Florida MSD boosted its stake in Taiwan Semiconductor Manufacturing by 42.8% in the second quarter. City National Bank of Florida MSD now owns 1,843 shares of the semiconductor company's stock valued at $880,000 after buying an additional 552 shares in the last quarter. Zevenbergen Capital Investments LLC boosted its stake in Taiwan Semiconductor Manufacturing by 60.9% in the second quarter. Zevenbergen Capital Investments LLC now owns 108,665 shares of the semiconductor company's stock valued at $51,895,000 after buying an additional 41,115 shares in the last quarter. Finally, Alterna Wealth Management Inc. grew its position in Taiwan Semiconductor Manufacturing by 86.6% in the second quarter. Alterna Wealth Management Inc. now owns 1,202 shares of the semiconductor company's stock valued at $574,000 after acquiring an additional 558 shares during the last quarter. 16.51% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

Several brokerages have commented on TSM. Susquehanna boosted their target price on Taiwan Semiconductor Manufacturing from $575.00 to $600.00 and gave the stock a "positive" rating in a research note on Thursday, July 16th. Needham & Company LLC raised their price target on shares of Taiwan Semiconductor Manufacturing from $480.00 to $530.00 and gave the company a "buy" rating in a research note on Monday, July 27th. DA Davidson lifted their price target on shares of Taiwan Semiconductor Manufacturing from $450.00 to $500.00 and gave the company a "buy" rating in a report on Friday, July 17th. Bank of America upped their price objective on shares of Taiwan Semiconductor Manufacturing from $490.00 to $590.00 and gave the stock a "buy" rating in a research report on Wednesday, June 24th. Finally, Weiss Ratings downgraded shares of Taiwan Semiconductor Manufacturing from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Wednesday. Three research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat, the stock has an average rating of "Buy" and a consensus target price of $524.25.

Trending Headlines about Taiwan Semiconductor Manufacturing

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

• Positive Sentiment: TSMC remains a key beneficiary of the AI boom. Nvidia is reportedly accelerating development of its next-generation Feynman platform, which could increase demand for TSMC’s 2-nanometer chips and advanced packaging capacity. Nvidia’s Next-Gen Feynman AI Platform Is Ramping Up
• Positive Sentiment: TSMC and Sony committed $4.69 billion to a new CMOS image-sensor plant in Kumamoto, Japan, with production targeted for 2029 and support from Japanese government subsidies. The project could broaden TSMC’s geographic footprint and strengthen its relationship with a major customer. Sony and TSMC’s $4.7 Billion Venture
• Positive Sentiment: Several institutional investors expressed confidence in TSMC: Causeway Capital increased its position, while Perseverance Asset Management International also raised its stake. Analysts including Sanford C. Bernstein continue to forecast meaningful appreciation. Causeway Capital Boosts TSMC Stake
• Neutral Sentiment: TSMC filed reviewed interim financial statements with the SEC. The filing provides updated regulatory disclosure but, based on the available report, does not identify a material change to the company’s outlook. TSMC Files Reviewed Interim Financials
• Negative Sentiment: SoftBank disclosed that it sold 71.5% of its TSMC holdings during the second quarter. Although the sale may reflect portfolio management rather than a change in fundamentals, it creates near-term overhang and may weigh on sentiment. SoftBank Sells Most of Its Taiwan Semiconductor Holdings
• Negative Sentiment: Investors are increasingly concerned that strong earnings may already be reflected in chip valuations, while Fidelity has warned that the semiconductor cycle could be nearing a peak. Those concerns are particularly relevant for TSMC, whose valuation and recent gains leave the stock vulnerable to profit-taking. Analyst Sees Trouble Brewing for Hot Chip Stocks

Taiwan Semiconductor Manufacturing Stock Performance

NYSE:TSM opened at $426.67 on Friday. The stock's 50-day moving average is $425.97 and its 200-day moving average is $390.38. Taiwan Semiconductor Manufacturing Company Ltd. has a 1-year low of $223.70 and a 1-year high of $479.00. The company has a current ratio of 2.46, a quick ratio of 2.25 and a debt-to-equity ratio of 0.13. The stock has a market cap of $2.21 trillion, a P/E ratio of 30.78, a price-to-earnings-growth ratio of 0.98 and a beta of 1.38.

Taiwan Semiconductor Manufacturing (NYSE:TSM - Get Free Report) last issued its quarterly earnings data on Tuesday, June 30th. The semiconductor company reported $4.28 earnings per share (EPS) for the quarter. Taiwan Semiconductor Manufacturing had a net margin of 50.31% and a return on equity of 39.37%. The business had revenue of $39.89 billion during the quarter. Equities research analysts anticipate that Taiwan Semiconductor Manufacturing Company Ltd. will post 16.44 earnings per share for the current year.

Taiwan Semiconductor Manufacturing Cuts Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, January 7th. Stockholders of record on Thursday, December 10th will be issued a dividend of $1.0854 per share. This represents a $4.34 dividend on an annualized basis and a dividend yield of 1.0%. The ex-dividend date is Thursday, December 10th. Taiwan Semiconductor Manufacturing's payout ratio is 21.43%.

Insider Buying and Selling at Taiwan Semiconductor Manufacturing

In related news, VP Bor-Zen Tien purchased 3,000 shares of Taiwan Semiconductor Manufacturing stock in a transaction on Tuesday, July 21st. The shares were purchased at an average price of $74.39 per share, for a total transaction of $223,170.00. Following the transaction, the vice president owned 4,000 shares of the company's stock, valued at approximately $297,560. This represents a 300.00% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, VP Shyue-Shyh Lin purchased 2,000 shares of the firm's stock in a transaction dated Sunday, July 19th. The stock was bought at an average cost of $71.71 per share, with a total value of $143,420.00. Following the purchase, the vice president owned 28,269 shares of the company's stock, valued at approximately $2,027,169.99. This trade represents a 7.61% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have purchased a total of 18,312 shares of company stock worth $1,347,058 in the last three months. 1.11% of the stock is currently owned by company insiders.

About Taiwan Semiconductor Manufacturing

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.

Want to see what other hedge funds are holding TSM? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source