Taiwan Semiconductor Manufacturing (NYSE:TSM) Trading Down 1.5% – Here’s Why

Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) shares dropped 1.5% on Monday . The stock traded as low as $364.65 and last traded at $368.9380. Approximately 12,269,382 shares traded hands during mid-day trading, a decline of 12% from the average daily volume of 13,956,170 shares. The stock had previously closed at $374.58.

Wall Street Analyst Weigh In

A number of analysts have recently weighed in on the stock. DA Davidson upgraded shares of Taiwan Semiconductor Manufacturing to a “strong-buy” rating in a research note on Friday, February 13th. Citigroup reissued a “buy” rating on shares of Taiwan Semiconductor Manufacturing in a research report on Friday, January 9th. Needham & Company LLC upped their price target on shares of Taiwan Semiconductor Manufacturing from $360.00 to $410.00 and gave the company a “buy” rating in a report on Thursday, January 15th. Barclays lifted their price objective on Taiwan Semiconductor Manufacturing from $380.00 to $450.00 and gave the stock an “overweight” rating in a research note on Friday, January 16th. Finally, Dbs Bank upgraded Taiwan Semiconductor Manufacturing to a “moderate buy” rating in a research note on Friday, January 23rd. Four investment analysts have rated the stock with a Strong Buy rating, ten have assigned a Buy rating and one has issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company has an average rating of “Buy” and a consensus price target of $391.43.

Taiwan Semiconductor Manufacturing Stock Performance

The firm has a fifty day simple moving average of $337.40 and a 200 day simple moving average of $298.43. The company has a current ratio of 2.62, a quick ratio of 2.42 and a debt-to-equity ratio of 0.17. The stock has a market cap of $1.91 trillion, a price-to-earnings ratio of 34.64, a PEG ratio of 1.05 and a beta of 1.31.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last released its quarterly earnings data on Thursday, February 26th. The semiconductor company reported $3.11 earnings per share (EPS) for the quarter. The business had revenue of $30.65 billion for the quarter. Taiwan Semiconductor Manufacturing had a return on equity of 34.89% and a net margin of 45.13%. As a group, sell-side analysts expect that Taiwan Semiconductor Manufacturing Company Ltd. will post 9.2 earnings per share for the current year.

Taiwan Semiconductor Manufacturing Cuts Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, July 9th. Stockholders of record on Thursday, June 11th will be paid a $0.9503 dividend. The ex-dividend date is Thursday, June 11th. This represents a $3.80 dividend on an annualized basis and a dividend yield of 1.0%. Taiwan Semiconductor Manufacturing’s dividend payout ratio is currently 28.64%.

Institutional Trading of Taiwan Semiconductor Manufacturing

A number of institutional investors and hedge funds have recently added to or reduced their stakes in TSM. Brighton Jones LLC raised its holdings in shares of Taiwan Semiconductor Manufacturing by 20.9% in the 4th quarter. Brighton Jones LLC now owns 10,930 shares of the semiconductor company’s stock worth $2,159,000 after buying an additional 1,892 shares in the last quarter. Ignite Planners LLC grew its position in Taiwan Semiconductor Manufacturing by 4.7% in the second quarter. Ignite Planners LLC now owns 2,610 shares of the semiconductor company’s stock valued at $627,000 after acquiring an additional 116 shares during the period. Pinnacle Associates Ltd. raised its stake in Taiwan Semiconductor Manufacturing by 25.9% during the second quarter. Pinnacle Associates Ltd. now owns 16,527 shares of the semiconductor company’s stock worth $3,743,000 after acquiring an additional 3,398 shares in the last quarter. Linscomb Wealth Inc. bought a new position in shares of Taiwan Semiconductor Manufacturing during the second quarter valued at $206,000. Finally, Plato Investment Management Ltd boosted its stake in shares of Taiwan Semiconductor Manufacturing by 7.4% in the 2nd quarter. Plato Investment Management Ltd now owns 8,593 shares of the semiconductor company’s stock valued at $1,939,000 after purchasing an additional 593 shares in the last quarter. 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.