Taiwan Semiconductor Manufacturing (NYSE:TSM) Stock Price Down 1.5% - What's Next?

Key Points

• Taiwan Semiconductor Manufacturing's stock price fell 1.5%, closing at $299.90 after trading as low as $297.42, with a significant drop in trading volume.
• Several analysts have upgraded their ratings on TSM, with the average price target now at $288.33 and five analysts recommending a buy.
• The company announced a quarterly dividend increase to $0.8348, marking a rise from the previous dividend of $0.65.

Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM - Get Free Report)'s stock price fell 1.5% on Thursday . The stock traded as low as $297.42 and last traded at $299.90. 10,164,283 shares changed hands during trading, a decline of 30% from the average session volume of 14,440,110 shares. The stock had previously closed at $304.52.

Analyst Upgrades and Downgrades

A number of equities research analysts have weighed in on TSM shares. Itau BBA Securities initiated coverage on shares of Taiwan Semiconductor Manufacturing in a report on Tuesday. They set an "outperform" rating on the stock. Needham & Company LLC reissued a "buy" rating and issued a $270.00 price objective on shares of Taiwan Semiconductor Manufacturing in a research note on Thursday, July 17th. Wall Street Zen raised Taiwan Semiconductor Manufacturing from a "hold" rating to a "buy" rating in a research report on Sunday, August 31st. Susquehanna upped their price target on Taiwan Semiconductor Manufacturing from $255.00 to $265.00 and gave the company a "positive" rating in a research report on Monday, July 14th. Finally, Weiss Ratings restated a "hold (c+)" rating on shares of Taiwan Semiconductor Manufacturing in a research report on Wednesday. Five research analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and an average price target of $288.33.

Taiwan Semiconductor Manufacturing Stock Down 1.5%

The company has a debt-to-equity ratio of 0.20, a quick ratio of 2.15 and a current ratio of 2.37. The firm's 50 day moving average price is $255.00 and its two-hundred day moving average price is $216.42. The company has a market cap of $1.56 trillion, a P/E ratio of 34.20, a price-to-earnings-growth ratio of 1.45 and a beta of 1.28.

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

Taiwan Semiconductor Manufacturing Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, January 8th. Shareholders of record on Thursday, December 11th will be issued a $0.8348 dividend. The ex-dividend date is Thursday, December 11th. This is an increase from Taiwan Semiconductor Manufacturing's previous quarterly dividend of $0.65. This represents a $3.34 annualized dividend and a yield of 1.1%. Taiwan Semiconductor Manufacturing's dividend payout ratio is currently 29.99%.

Hedge Funds Weigh In On Taiwan Semiconductor Manufacturing

A number of large investors have recently modified their holdings of the company. DekaBank Deutsche Girozentrale raised its holdings in shares of Taiwan Semiconductor Manufacturing by 0.9% in the 1st quarter. DekaBank Deutsche Girozentrale now owns 1,339,479 shares of the semiconductor company's stock worth $214,442,000 after acquiring an additional 11,693 shares during the last quarter. Powers Advisory Group LLC bought a new stake in Taiwan Semiconductor Manufacturing during the 2nd quarter worth approximately $240,000. Hudson Edge Investment Partners Inc. raised its stake in shares of Taiwan Semiconductor Manufacturing by 10.1% in the second quarter. Hudson Edge Investment Partners Inc. now owns 236,503 shares of the semiconductor company's stock worth $53,566,000 after purchasing an additional 21,648 shares during the last quarter. Quantbot Technologies LP grew its holdings in Taiwan Semiconductor Manufacturing by 452.2% during the first quarter. Quantbot Technologies LP now owns 47,425 shares of the semiconductor company's stock worth $7,873,000 after buying an additional 38,837 shares in the last quarter. Finally, RFG Holdings Inc. raised its position in Taiwan Semiconductor Manufacturing by 66.1% in the 2nd quarter. RFG Holdings Inc. now owns 3,898 shares of the semiconductor company's stock valued at $883,000 after buying an additional 1,551 shares during the last quarter. 16.51% of the stock is currently owned by institutional investors.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.