Taiwan Semiconductor Manufacturing (NYSE:TSM) Trading Up 2% – Should You Buy?

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) shares rose 2% on Friday . The company traded as high as $190.98 and last traded at $189.45. Approximately 4,929,879 shares were traded during trading, a decline of 68% from the average daily volume of 15,303,028 shares. The stock had previously closed at $185.78.

Analyst Ratings Changes

TSM has been the topic of a number of recent research reports. Sanford C. Bernstein lifted their price target on shares of Taiwan Semiconductor Manufacturing from $150.00 to $200.00 and gave the stock an “outperform” rating in a research note on Thursday, June 20th. Needham & Company LLC lifted their price target on shares of Taiwan Semiconductor Manufacturing from $168.00 to $210.00 and gave the stock a “buy” rating in a research note on Monday, July 15th. Susquehanna reissued a “positive” rating and set a $250.00 price objective on shares of Taiwan Semiconductor Manufacturing in a report on Wednesday, August 14th. Finally, TD Cowen lifted their price objective on Taiwan Semiconductor Manufacturing from $130.00 to $170.00 and gave the company a “hold” rating in a report on Thursday, July 18th. One investment analyst has rated the stock with a hold rating and five have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $200.00.

Taiwan Semiconductor Manufacturing Stock Performance

The company has a market capitalization of $989.83 billion, a P/E ratio of 33.89, a PEG ratio of 1.10 and a beta of 1.14. The stock has a fifty day simple moving average of $170.82 and a 200-day simple moving average of $161.77. The company has a quick ratio of 2.21, a current ratio of 2.47 and a debt-to-equity ratio of 0.26.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last released its quarterly earnings results on Thursday, July 18th. The semiconductor company reported $1.48 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.37 by $0.11. Taiwan Semiconductor Manufacturing had a return on equity of 25.54% and a net margin of 37.85%. The business had revenue of $20.82 billion during the quarter, compared to analysts’ expectations of $20.33 billion. During the same period in the previous year, the business posted $1.14 earnings per share. The firm’s revenue for the quarter was up 34.6% compared to the same quarter last year. Equities analysts forecast that Taiwan Semiconductor Manufacturing Company Limited will post 6.45 EPS for the current year.

Taiwan Semiconductor Manufacturing Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, January 9th. Investors of record on Thursday, December 12th will be issued a $0.4871 dividend. This represents a $1.95 dividend on an annualized basis and a dividend yield of 1.02%. This is a boost from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $0.49. The ex-dividend date is Thursday, December 12th. Taiwan Semiconductor Manufacturing’s payout ratio is currently 35.24%.

Institutional Trading of Taiwan Semiconductor Manufacturing

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Seed Wealth Management Inc. raised its stake in Taiwan Semiconductor Manufacturing by 1.3% in the 2nd quarter. Seed Wealth Management Inc. now owns 4,558 shares of the semiconductor company’s stock valued at $792,000 after acquiring an additional 57 shares during the period. Keudell Morrison Wealth Management raised its stake in Taiwan Semiconductor Manufacturing by 1.5% in the 2nd quarter. Keudell Morrison Wealth Management now owns 4,027 shares of the semiconductor company’s stock valued at $700,000 after acquiring an additional 59 shares during the period. Heron Bay Capital Management raised its stake in Taiwan Semiconductor Manufacturing by 1.0% in the 2nd quarter. Heron Bay Capital Management now owns 5,710 shares of the semiconductor company’s stock valued at $992,000 after acquiring an additional 59 shares during the period. Azzad Asset Management Inc. ADV raised its stake in Taiwan Semiconductor Manufacturing by 0.4% in the 3rd quarter. Azzad Asset Management Inc. ADV now owns 14,166 shares of the semiconductor company’s stock valued at $2,460,000 after acquiring an additional 63 shares during the period. Finally, Foster Group Inc. raised its stake in Taiwan Semiconductor Manufacturing by 1.5% in the 3rd quarter. Foster Group Inc. now owns 4,382 shares of the semiconductor company’s stock valued at $761,000 after acquiring an additional 65 shares during the period. 16.51% of the stock is currently owned by institutional investors and hedge funds.

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.