Taiwan Semiconductor Manufacturing (NYSE:TSM) Downgraded to Hold Rating by Zacks Research

Zacks Research cut shares of Taiwan Semiconductor Manufacturing (NYSE:TSM) from a strong-buy rating to a hold rating in a research report report published on Monday,Zacks.com reports.

A number of other research firms have also weighed in on TSM. TD Cowen upped their target price on Taiwan Semiconductor Manufacturing from $325.00 to $370.00 and gave the stock a “hold” rating in a report on Friday, January 16th. Wedbush reiterated an “outperform” rating on shares of Taiwan Semiconductor Manufacturing in a report on Wednesday, February 11th. Wall Street Zen lowered Taiwan Semiconductor Manufacturing from a “buy” rating to a “hold” rating in a research report on Saturday, March 14th. Citigroup restated a “buy” rating on shares of Taiwan Semiconductor Manufacturing in a research note on Friday, January 9th. Finally, Freedom Capital raised Taiwan Semiconductor Manufacturing to a “strong-buy” rating in a research report on Thursday, January 15th. Three equities research analysts have rated the stock with a Strong Buy rating, nine have issued a Buy rating and three have given a Hold rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Buy” and a consensus price target of $391.43.

Taiwan Semiconductor Manufacturing Trading Down 1.9%

NYSE:TSM opened at $339.56 on Monday. Taiwan Semiconductor Manufacturing has a one year low of $134.25 and a one year high of $390.20. The company has a debt-to-equity ratio of 0.17, a quick ratio of 2.42 and a current ratio of 2.62. The firm has a market cap of $1.76 trillion, a P/E ratio of 31.88, a P/E/G ratio of 0.95 and a beta of 1.29. The firm has a 50-day simple moving average of $348.15 and a 200-day simple moving average of $308.21.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last announced its quarterly earnings results on Thursday, February 26th. The semiconductor company reported $3.11 earnings per share for the quarter. Taiwan Semiconductor Manufacturing had a net margin of 45.13% and a return on equity of 34.89%. The firm had revenue of $30.65 billion during the quarter. Equities analysts anticipate that Taiwan Semiconductor Manufacturing will post 9.2 EPS for the current fiscal year.

Taiwan Semiconductor Manufacturing Cuts Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, July 9th. Shareholders of record on Thursday, June 11th will be issued a $0.9503 dividend. This represents a $3.80 annualized dividend and a yield of 1.1%. The ex-dividend date of this dividend is Thursday, June 11th. Taiwan Semiconductor Manufacturing’s payout ratio is currently 28.36%.

Institutional Trading of Taiwan Semiconductor Manufacturing

Hedge funds and other institutional investors have recently made changes to their positions in the business. Quattro Advisors LLC acquired a new position in Taiwan Semiconductor Manufacturing during the 4th quarter valued at about $25,000. Hilton Head Capital Partners LLC acquired a new stake in Taiwan Semiconductor Manufacturing in the fourth quarter worth about $27,000. Stephens Consulting LLC grew its stake in shares of Taiwan Semiconductor Manufacturing by 82.0% during the fourth quarter. Stephens Consulting LLC now owns 91 shares of the semiconductor company’s stock worth $28,000 after acquiring an additional 41 shares during the last quarter. Strategic Advocates LLC grew its stake in shares of Taiwan Semiconductor Manufacturing by 62.1% during the fourth quarter. Strategic Advocates LLC now owns 94 shares of the semiconductor company’s stock worth $28,000 after acquiring an additional 36 shares during the last quarter. Finally, Ares Financial Consulting LLC acquired a new position in shares of Taiwan Semiconductor Manufacturing during the fourth quarter valued at about $29,000. Hedge funds and other institutional investors own 16.51% of the company’s stock.

More Taiwan Semiconductor Manufacturing News

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

• Positive Sentiment: New industry data highlights TSMC’s dominance — the company is reported to hold roughly 72% of the global chip market and is positioned to benefit from record-high AI demand, supporting revenue visibility and long-term growth prospects. TSMC Claims 72% Of Global Chip Market As AI Demand Hits Record Highs
• Positive Sentiment: Some analysts and commentators view the recent pullback as a buying opportunity after a roughly 13% correction, arguing TSM’s fundamentals and AI exposure make dips attractive for long-term investors. TSMC Stock Looks Like a Table-Pounding Gift After That 13% Correction
• Positive Sentiment: Options activity shows heavy call buying on TSM, signaling some investors are placing bullish bets on near-term upside or further recovery. This can provide short-term support for the stock. Investors Buy High Volume of Call Options on Taiwan Semiconductor Manufacturing (NYSE:TSM)
• Neutral Sentiment: Market commentary highlights trading strategies (e.g., selling puts) and income-focused approaches for capturing yield while targeting TSM at lower prices — useful tactical ideas but not company fundamentals. TSM Stock: Why Selling Puts Is The Win-Win Play
• Neutral Sentiment: Coverage continues to debate valuation vs. growth: some outlets emphasize TSMC’s outperformance and AI tailwinds, while others flag rich multiples — this keeps sentiment mixed and can amplify volatility. Taiwan Semiconductor Manufacturing (NYSE:TSM) Share Performance And Valuation Debate
• Negative Sentiment: Competitive risk: multiple pieces contrast TSMC with NVIDIA and other AI chip players, arguing NVIDIA offers faster growth and may be the better trade today — this comparison pressures sentiment and can divert capital away from TSM. NVDA vs. TSM: Which Semiconductor Powerhouse Offers More Upside?
• Negative Sentiment: Customer concentration / strategic loss: reports that Tesla selected an alternative to TSMC for some chips (building an in-house/sovereign chain) raise concerns about large customers pursuing vertical integration, which could dent future wafer demand. Tesla Just Snubbed TSMC — Musk Is Quietly Building A Sovereign Chip Chain
• Negative Sentiment: Geopolitical / supply-risk concerns (e.g., helium shortages and regional tensions) are repeatedly flagged as tail risks that could disrupt TSMC’s fabs or logistics, adding a risk premium to the stock. Nvidia, TSMC Are Dangerously Exposed To A Hidden War Risk (Hint: Not Oil)

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.