Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) Given Average Recommendation of "Buy" by Analysts

Key Points

• Taiwan Semiconductor Manufacturing Company Ltd. (TSM) has received an average recommendation of "Buy" from four research firms, with a 12-month price target of approximately $286.67.
• The company recently reported quarterly earnings of $2.47 per share, exceeding analyst expectations and showing a 44.4% increase in revenue year-over-year.
• TSMC also announced an increase in its quarterly dividend to $0.8348 per share, representing a yield of 1.2%.

Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM - Get Free Report) has earned an average recommendation of "Buy" from the four research firms that are covering the company, MarketBeat.com reports. Four research analysts have rated the stock with a buy rating. The average 12 month price target among brokers that have updated their coverage on the stock in the last year is $286.6667.

TSM has been the subject of several recent analyst reports. Needham & Company LLC reiterated a "buy" rating and set a $270.00 price objective on shares of Taiwan Semiconductor Manufacturing in a research note on Thursday, July 17th. Wall Street Zen raised shares of Taiwan Semiconductor Manufacturing from a "hold" rating to a "buy" rating in a research note on Sunday, August 31st. Barclays lifted their price objective on Taiwan Semiconductor Manufacturing from $275.00 to $325.00 and gave the stock an "overweight" rating in a research report on Tuesday, September 16th. Finally, Susquehanna upped their target price on shares of Taiwan Semiconductor Manufacturing from $255.00 to $265.00 and gave the company a "positive" rating in a research report on Monday, July 14th.

Taiwan Semiconductor Manufacturing Stock Performance

NYSE:TSM opened at $273.41 on Friday. The firm has a market capitalization of $1.42 trillion, a PE ratio of 31.18, a price-to-earnings-growth ratio of 1.30 and a beta of 1.23. The company has a quick ratio of 2.15, a current ratio of 2.37 and a debt-to-equity ratio of 0.20. Taiwan Semiconductor Manufacturing has a 12-month low of $134.25 and a 12-month high of $286.00. The firm has a 50-day moving average price of $245.90 and a 200 day moving average price of $209.46.

Taiwan Semiconductor Manufacturing (NYSE:TSM - Get Free Report) last released its quarterly earnings data on Thursday, July 17th. The semiconductor company reported $2.47 earnings per share for the quarter, beating the consensus estimate of $2.13 by $0.34. Taiwan Semiconductor Manufacturing had a return on equity of 33.37% and a net margin of 42.91%.The company had revenue of $30.07 billion for the quarter, compared to analyst estimates of $28.50 billion. During the same period in the prior year, the company posted $1.48 EPS. The company's revenue was up 44.4% compared to the same quarter last year. Taiwan Semiconductor Manufacturing has set its Q3 2025 guidance at EPS. Research analysts anticipate that Taiwan Semiconductor Manufacturing will post 9.2 earnings per share for the current fiscal year.

Taiwan Semiconductor Manufacturing Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, January 8th. Investors of record on Thursday, December 11th will be paid a dividend of $0.8348 per share. This represents a $3.34 annualized dividend and a yield of 1.2%. The ex-dividend date of this dividend is Thursday, December 11th. This is a boost from Taiwan Semiconductor Manufacturing's previous quarterly dividend of $0.65. Taiwan Semiconductor Manufacturing's dividend payout ratio (DPR) is 29.99%.

Institutional Investors Weigh In On Taiwan Semiconductor Manufacturing

A number of hedge funds have recently modified their holdings of the business. Brighton Jones LLC raised its position in Taiwan Semiconductor Manufacturing by 20.9% in the 4th quarter. Brighton Jones LLC now owns 10,930 shares of the semiconductor company's stock valued at $2,159,000 after buying an additional 1,892 shares during the last quarter. GAMMA Investing LLC increased its stake in shares of Taiwan Semiconductor Manufacturing by 17,658.8% during the first quarter. GAMMA Investing LLC now owns 1,511,098 shares of the semiconductor company's stock worth $250,842,000 after purchasing an additional 1,502,589 shares during the period. Private Client Services LLC lifted its holdings in Taiwan Semiconductor Manufacturing by 32.3% during the 1st quarter. Private Client Services LLC now owns 1,347 shares of the semiconductor company's stock worth $224,000 after purchasing an additional 329 shares during the last quarter. Somerset Trust Co lifted its holdings in shares of Taiwan Semiconductor Manufacturing by 15.7% during the first quarter. Somerset Trust Co now owns 6,567 shares of the semiconductor company's stock worth $1,090,000 after buying an additional 893 shares in the last quarter. Finally, Atlas Brown Inc. boosted its holdings in Taiwan Semiconductor Manufacturing by 61.1% in the 1st quarter. Atlas Brown Inc. now owns 1,711 shares of the semiconductor company's stock valued at $284,000 after purchasing an additional 649 shares during the period. Institutional investors and hedge funds own 16.51% of the company's stock.

Taiwan Semiconductor Manufacturing Company Profile

Taiwan Semiconductor Manufacturing Company Limited, together with its subsidiaries, manufactures, packages, tests, and sells integrated circuits and other semiconductor devices in Taiwan, China, Europe, the Middle East, Africa, Japan, the United States, and internationally. It provides a range of wafer fabrication processes, including processes to manufacture complementary metal- oxide-semiconductor (CMOS) logic, mixed-signal, radio frequency, embedded memory, bipolar CMOS mixed-signal, and others.

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