Taiwan Semiconductor Manufacturing (NYSE:TSM) Trading 2.7% Higher – What’s Next?

Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM)’s share price traded up 2.7% on Thursday . The company traded as high as $422.25 and last traded at $419.6720. 13,735,504 shares changed hands during trading, a decline of 1% from the average session volume of 13,829,621 shares. The stock had previously closed at $408.75.

Taiwan Semiconductor Manufacturing News Summary

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

• Positive Sentiment: Several reports highlighted TSMC as a major beneficiary of Big Tech’s massive AI capital spending, with articles calling it an underappreciated winner in the AI infrastructure buildout. 2 Unsung Heroes of Big Tech’s $725 Billion AI Capex Spend
• Positive Sentiment: Nvidia CEO Jensen Huang’s comments that AI is “insanely profitable” for TSMC added to confidence that the company remains central to the AI chip supply chain. Nvidia CEO Jensen Huang Calls AI ‘Insanely Profitable’ for TSMC. How to Play TSM Stock Here.
• Positive Sentiment: New coverage said TSMC is a top semiconductor stock for 2026, while other pieces noted Harvard Management’s large stake, both reinforcing institutional confidence in the stock. Harvard University’s Favorite AI Stock Pick: Taiwan Semiconductor (TSM)
• Neutral Sentiment: TSMC’s CEO said chip supply is likely to stay tight for years because AI demand is still outpacing capacity, which is positive for pricing power but also underscores how stretched supply remains. Taiwan Semiconductor (TSM) Sees AI Chip Demand Outpacing Supply
• Negative Sentiment: At the same time, CEO C.C. Wei highlighted talent shortages and ongoing concerns about water availability in Taiwan, which could limit production growth and add operational risk. TSMC boss frets about shortages of talent, water in Taiwan
• Negative Sentiment: One report also said Google may look to Samsung for additional AI chip capacity because of a TSMC capacity crunch, suggesting some customers are seeking alternatives. GOOGL Explores Samsung Partnership For Next-Gen AI Chip Amid TSMC Capacity Crunch: Report

Analyst Upgrades and Downgrades

A number of analysts have weighed in on the company. DA Davidson reaffirmed a “buy” rating and set a $450.00 price objective on shares of Taiwan Semiconductor Manufacturing in a research report on Friday, April 17th. Wall Street Zen raised Taiwan Semiconductor Manufacturing from a “hold” rating to a “buy” rating in a research report on Sunday, March 22nd. Barclays increased their price objective on Taiwan Semiconductor Manufacturing from $450.00 to $470.00 and gave the stock an “overweight” rating in a research report on Wednesday, April 22nd. Weiss Ratings raised Taiwan Semiconductor Manufacturing from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Friday, March 20th. Finally, Needham & Company LLC increased their price objective on Taiwan Semiconductor Manufacturing from $410.00 to $480.00 and gave the stock a “buy” rating in a research report on Thursday, April 16th. Two equities research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating and two have issued a Hold rating to the company. According to MarketBeat.com, Taiwan Semiconductor Manufacturing currently has an average rating of “Buy” and a consensus target price of $404.29.

Taiwan Semiconductor Manufacturing Stock Up 0.5%

The stock has a market capitalization of $2.19 trillion, a PE ratio of 35.19, a P/E/G ratio of 1.23 and a beta of 1.38. The firm has a 50 day moving average of $397.03 and a two-hundred day moving average of $352.69. The company has a current ratio of 2.49, a quick ratio of 2.31 and a debt-to-equity ratio of 0.16.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last released its quarterly earnings data on Tuesday, February 10th. The semiconductor company reported $3.11 earnings per share for the quarter. Taiwan Semiconductor Manufacturing had a return on equity of 36.81% and a net margin of 46.97%.The firm had revenue of $30.65 billion during the quarter. Equities research analysts anticipate that Taiwan Semiconductor Manufacturing Company Ltd. will post 15.3 earnings per share for the current year.

Taiwan Semiconductor Manufacturing Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, October 8th. Shareholders of record on Wednesday, September 16th will be given a dividend of $1.1136 per share. The ex-dividend date of this dividend is Wednesday, September 16th. This is a positive change from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $0.95. This represents a $4.45 annualized dividend and a yield of 1.1%. Taiwan Semiconductor Manufacturing’s dividend payout ratio (DPR) is 25.12%.

Insider Buying and Selling at Taiwan Semiconductor Manufacturing

In other Taiwan Semiconductor Manufacturing news, VP Tzu-Sou Chuang sold 200,000 shares of the firm’s stock in a transaction on Tuesday, May 19th. The stock was sold at an average price of $69.83, for a total transaction of $13,966,000.00. Following the completion of the transaction, the vice president owned 2,495,165 shares of the company’s stock, valued at approximately $174,237,371.95. This trade represents a 7.42% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, VP Bor-Zen Tien purchased 2,000 shares of the company’s stock in a transaction on Tuesday, May 19th. The shares were bought at an average cost of $69.91 per share, with a total value of $139,820.00. Following the transaction, the vice president directly owned 11,051 shares of the company’s stock, valued at $772,575.41. This represents a 22.10% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have acquired 3,496 shares of company stock valued at $229,407 in the last three months. 1.11% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Taiwan Semiconductor Manufacturing

Several hedge funds have recently bought and sold shares of TSM. Quattro Advisors LLC acquired a new stake in shares of Taiwan Semiconductor Manufacturing during the fourth quarter worth $25,000. Hilton Head Capital Partners LLC acquired a new position in Taiwan Semiconductor Manufacturing in the fourth quarter valued at $27,000. Stephens Consulting LLC boosted its holdings in Taiwan Semiconductor Manufacturing by 82.0% in the fourth quarter. Stephens Consulting LLC now owns 91 shares of the semiconductor company’s stock valued at $28,000 after acquiring an additional 41 shares during the last quarter. Evolution Wealth Management Inc. boosted its holdings in Taiwan Semiconductor Manufacturing by 257.7% in the first quarter. Evolution Wealth Management Inc. now owns 93 shares of the semiconductor company’s stock valued at $31,000 after acquiring an additional 67 shares during the last quarter. Finally, Strategic Advocates LLC boosted its holdings in Taiwan Semiconductor Manufacturing by 62.1% in the fourth quarter. Strategic Advocates LLC now owns 94 shares of the semiconductor company’s stock valued at $28,000 after acquiring an additional 36 shares during the last quarter. 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.