Taiwan Semiconductor Manufacturing (NYSE:TSM) Trading Up 1.6% Following Insider Buying Activity

Key Points

• TSMC shares rose 1.6% after Vice President Lipen Yuan disclosed buying 1,000 shares, a move seen as a sign of management confidence in the company’s outlook.
• Recent analyst action has been mostly positive, including higher price targets from Needham and Barclays, with MarketBeat showing a consensus Buy rating and a $404.29 target price.
• Beyond the stock move, TSMC continues to benefit from AI-related growth catalysts, including a 10-year advanced packaging deal with Amkor in Arizona that should strengthen its U.S. manufacturing footprint and supply-chain resilience.

Shares of Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM - Get Free Report) were up 1.6% during trading on Wednesday after an insider bought additional shares in the company. The stock traded as high as $442.50 and last traded at $432.7340. Approximately 10,861,382 shares traded hands during mid-day trading, a decline of 21% from the average daily volume of 13,735,253 shares. The stock had previously closed at $425.83.

Specifically, VP Lipen Yuan purchased 1,000 shares of Taiwan Semiconductor Manufacturing stock in a transaction dated Monday, June 15th. The stock was acquired at an average cost of $75.26 per share, with a total value of $75,260.00. Following the acquisition, the vice president directly owned 4,000 shares of the company's stock, valued at $301,040. This represents a 33.33% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website.

Analyst Upgrades and Downgrades

Several analysts have recently commented on TSM shares. Zacks Research cut Taiwan Semiconductor Manufacturing from a "strong-buy" rating to a "hold" rating in a report on Monday, March 16th. Weiss Ratings raised Taiwan Semiconductor Manufacturing from a "hold (c+)" rating to a "buy (b-)" rating in a report on Friday, March 20th. Wall Street Zen raised Taiwan Semiconductor Manufacturing from a "hold" rating to a "buy" rating in a report on Sunday, March 22nd. Needham & Company LLC lifted their price objective on Taiwan Semiconductor Manufacturing from $410.00 to $480.00 and gave the stock a "buy" rating in a report on Thursday, April 16th. Finally, Barclays lifted their price objective on Taiwan Semiconductor Manufacturing from $450.00 to $470.00 and gave the stock an "overweight" rating in a report on Wednesday, April 22nd. Two 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's stock. According to data from MarketBeat.com, Taiwan Semiconductor Manufacturing currently has a consensus rating of "Buy" and a consensus target price of $404.29.

Key Taiwan Semiconductor Manufacturing News

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

• Positive Sentiment: TSMC’s recent 10-year advanced packaging deal with Amkor in Arizona strengthens its U.S. manufacturing and packaging footprint, which should help support long-term AI chip demand and supply-chain resilience. TSMC and Amkor Sign 10-Year Advanced Packaging Deal in Arizona
• Positive Sentiment: Insider buying added to the bullish tone after TSMC Vice President Lipen Yuan purchased 1,000 shares, signaling management confidence in the company’s outlook. Taiwan Semiconductor Manufacturing NYSE: TSM VP Lipen Yuan Buys 1,000 Shares
• Positive Sentiment: Investor commentary continues to frame TSMC as a key AI supply-chain winner, with recent analysis highlighting its strong moat and durable position in advanced semiconductors. 3 AI Stocks With Moats That Could Outlast Summer Volatility (TSM)
• Positive Sentiment: TSMC also continues to attract bullish attention from high-profile investors and analysts, reinforcing confidence in its AI-driven growth story. This is What Taiwan Semiconductor Manufacturing Company Limited (TSM) CEO Sees Happening
• Neutral Sentiment: Articles comparing Cerebras and TSMC, along with broader AI-chip and semiconductor commentary, kept TSMC in the spotlight but did not introduce a new direct catalyst. Cerebras vs. TSMC: Which AI Chip Stock Has More Upside?
• Neutral Sentiment: News that Alphabet may split AI chip manufacturing between Samsung and TSMC points to continued demand for TSMC, though it also suggests more competition for future foundry business. Alphabet (GOOGL) In Talks With Samsung For Manufacturing Next-Gen AI Processors
• Negative Sentiment: TSMC’s CEO warned about water and talent shortages, raising concerns that capacity expansion could face operational bottlenecks over time. Taiwan Semiconductor Manufacturing Company Limited (TSM)’s CEO Expresses Concern About Water, Talent Shortages
• Negative Sentiment: Recent market coverage noted TSMC fell more than the broader market in the prior session, reflecting some profit-taking and weaker near-term sentiment in the chip complex. TSMC (TSM) Registers a Bigger Fall Than the Market: Important Facts to Note

Taiwan Semiconductor Manufacturing Stock Up 1.6%

The company has a debt-to-equity ratio of 0.16, a current ratio of 2.49 and a quick ratio of 2.31. The firm has a 50-day simple moving average of $400.82 and a two-hundred day simple moving average of $355.22. The company has a market cap of $2.24 trillion, a PE ratio of 36.00, a P/E/G ratio of 1.29 and a beta of 1.39.

Taiwan Semiconductor Manufacturing (NYSE:TSM - Get Free Report) last released its quarterly earnings results on Tuesday, February 10th. The semiconductor company reported $3.11 earnings per share for the quarter. The company had revenue of $30.65 billion during the quarter. Taiwan Semiconductor Manufacturing had a return on equity of 36.81% and a net margin of 46.97%. Research analysts anticipate that Taiwan Semiconductor Manufacturing Company Ltd. will post 15.3 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, October 8th. Stockholders of record on Wednesday, September 16th will be given a $1.1136 dividend. This is an increase from Taiwan Semiconductor Manufacturing's previous quarterly dividend of $0.95. This represents a $4.45 dividend on an annualized basis and a dividend yield of 1.0%. The ex-dividend date of this dividend is Wednesday, September 16th. Taiwan Semiconductor Manufacturing's dividend payout ratio (DPR) is presently 29.20%.

Institutional Investors Weigh In On Taiwan Semiconductor Manufacturing

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Tiger Global Management LLC lifted its stake in shares of Taiwan Semiconductor Manufacturing by 49.4% during the first quarter. Tiger Global Management LLC now owns 5,565,074 shares of the semiconductor company's stock worth $1,880,717,000 after purchasing an additional 1,839,600 shares in the last quarter. Van ECK Associates Corp lifted its stake in shares of Taiwan Semiconductor Manufacturing by 11.1% during the fourth quarter. Van ECK Associates Corp now owns 17,464,962 shares of the semiconductor company's stock worth $5,307,428,000 after purchasing an additional 1,750,824 shares in the last quarter. Life Cycle Investment Partners Ltd acquired a new position in shares of Taiwan Semiconductor Manufacturing during the fourth quarter worth about $495,163,000. T. Rowe Price Investment Management Inc. lifted its stake in shares of Taiwan Semiconductor Manufacturing by 168.6% during the fourth quarter. T. Rowe Price Investment Management Inc. now owns 2,093,115 shares of the semiconductor company's stock worth $636,077,000 after purchasing an additional 1,313,917 shares in the last quarter. Finally, SurgoCap Partners LP acquired a new position in shares of Taiwan Semiconductor Manufacturing during the third quarter worth about $360,443,000. Hedge funds and other institutional investors own 16.51% of the company's stock.

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.

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