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Taiwan Semiconductor Manufacturing (TSM) Stock Price, News & Analysis

$186.63
+2.64 (+1.43%)
(As of 07/8/2024 ET)
Today's Range
$185.14
$192.80
50-Day Range
$134.92
$186.63
52-Week Range
$84.01
$192.80
Volume
22.53 million shs
Average Volume
13.89 million shs
Market Capitalization
$967.94 billion
P/E Ratio
35.55
Dividend Yield
0.92%
Price Target
$173.60

Taiwan Semiconductor Manufacturing MarketRank™ Stock Analysis

Analyst Rating
Moderate Buy
2.80 Rating Score
Upside/​Downside
7.0% Downside
$173.60 Price Target
Short Interest
Healthy
0.60% of Float Sold Short
Dividend Strength
Weak
Based on Four Factors
Sustainability
N/A
News Sentiment
0.74mentions of Taiwan Semiconductor Manufacturing in the last 14 days
Based on 37 Articles This Week
Insider Trading
N/A
Proj. Earnings Growth
25.61%
From $6.13 to $7.70 Per Share

Overall MarketRank

New Rank-Based ScoringMarketRank is calculated by averaging available category scores (with extra weight given to analysis and valuation), then ranking the company's weighted average against that of other companies.

3.08 out of 5 stars

Computer And Technology Sector

260th out of 568 stocks

Semiconductors & Related Devices Industry

39th out of 87 stocks

TSM stock logo

About Taiwan Semiconductor Manufacturing Stock (NYSE:TSM)

Morris Chang founded Taiwan Semiconductor Manufacturing Company Limited in 1987. The company was founded as and remains to this day the world's leading pure-play semiconductor foundry. A semiconductor foundry manufactures semiconductors for other companies at their specification; clients of Taiwan Semiconductor include but are not limited to Advanced Micro Devices, Apple, NVIDIA and Broadcom. Even some semiconductor manufacturers with their own production facilities, such as Intel and Texas Instruments, use Taiwan Semiconductor to some degree.

This model aims to ensure Taiwan Semiconductor remains relevant to the semiconductor industry while never competing with its customers. The company’s mission statement says it all “to be the trusted technology and capacity provider of the global logic IC (integrated circuit) industry for years to come.”

The company has been traded on the Taiwan stock exchange since 1993 and the New York Stock Exchange in 1997. Taiwan Semiconductor is the 2nd most valuable semiconductor company on the market and is only supplanted by Nvidia, a primary customer. In regard to its growth, the stock has grown revenue and earnings by better than 15% annually for investors since its IPO.

The company operates a network of foundries throughout Taiwan. As of 2022, there seven operations foundries and 2 in the works, including 1 in Arizona and 1 in Japan. The Arizona plant will be operational by 2024 and will begin manufacturing with the 3 nm processes.

With these, Taiwan Semiconductor can manufacture nearly 15 million 300 mm wafers per year. The company’s capabilities include process nodes ranging from 2 microns to 4nm. The company also packages, tests, and markets integrated circuits, semiconductor devices and related services internationally. The company’s products include logic, mixed-signal, RF and embedded memory chips.

Taiwan Semiconductor has been focused on maintaining its leading position right from the start. To that end, the company tends to reinvest large amounts of capital to increase and expand production as well as in the advancement of semiconductor technology.

Among the company’s many advancements are the development of N7+ and then N5 and down to the current standard of N4. These technologies were the first commercially available extreme ultraviolet lithography processes. This technology allows for smaller circuitry on the microchip and increases the chip's transistor density and overall functioning. Areas of research are centered on 4 disciplines that include Logic, Interconnect, Memory and Artificial Intelligence. Specific avenues for research include transistor structure, ferroelectrics and on and off-chip interconnect systems.

Taiwan Semiconductor's revenue topped $57 billion in 2021. The company manufactured 12,302 different semiconductor devices that year, using 291 different technologies for 535 clients. Its products are used in mobile devices, telecommunications, automobiles, manufacturing and consumer technology, to name a few end markets.

The company employs more than 65,000 people and is committed to the shift to green energy and sustainability. To that end, it became the 1st semiconductor company to make the RE100 pledge which states it will use 100% renewable energy by the year 2050.



TSM Stock Price History

TSM Stock News Headlines

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NVIDIA and TSM Stock: Is Semiconductor Sector Momentum Slowing? (TSM)
The semiconductor sector, which has outperformed the market YTD, is showing possible signs of a slowdown as the sector hovers near significant support.
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Is NVIDIA Stock Done Playing With the Market? Buy, Sell, or Hold
Nvidia stock is today's stock market darling, but the party could be about to end as historical trends and warning signs keep showing up to cap the stock
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Broadcom stock is giving investors a new reason to sick with it, especially at its new 10 to 1 stock split prices along with double-digit growth
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3 Stocks to Watch: Chip Shortage Impact on Industries
Late 2020 marked the onset of a severe global chip shortage, which had far-reaching repercussions throughout the interconnected world economy. The chip shortage stemmed from multiple factors, including pandemic-related disruptions, surging demand for electronics, and pre-existing supply chain vulnerabilities.
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3 Stocks to Watch: Chip Shortage Impact on Industries (TSM)
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Why Taiwan Semiconductor's Stock Prices Hit Record Highs
As the two largest economies in the world, the United States and China, have been battling over ownership of the semiconductor manufacturing space, leading to access to the world's latest technology and artificial intelligence capabilities, an opportunity is brewing for investors.
TSMC logo sign
Why Taiwan Semiconductor's Stock Prices Hit Record Highs (TSM)
Taiwan Semiconductor stock is now posing new ways to give investors a new rally, backed by fundamental developments and double-digit upside with analyst views
Taiwan Semiconductor Manufacturing (NYSE:TSM) Stock Price Up 2.8%
See More Headlines
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Company Calendar

Ex-Dividend for 4/11 Dividend
3/18/2024
Dividend Payable
4/11/2024
Last Earnings
4/18/2024
Ex-Dividend for 7/11 Dividend
6/13/2024
Today
7/08/2024
Dividend Payable
7/11/2024
Next Earnings (Confirmed)
7/18/2024
Fiscal Year End
12/31/2024

Industry, Sector and Symbol

Industry
Semiconductors & related devices
Sub-Industry
N/A
Employees
76,478
Year Founded
1987

Price Target and Rating

Average Stock Price Target
$173.60
High Stock Price Target
$200.00
Low Stock Price Target
$130.00
Potential Upside/Downside
-7.0%
Consensus Rating
Moderate Buy
Rating Score (0-4)
2.80
Research Coverage
5 Analysts

Profitability

Net Income
$27.82 billion
Pretax Margin
45.38%

Debt

Sales & Book Value

Annual Sales
$69.30 billion
Cash Flow
$8.66 per share
Book Value
$21.75 per share

Miscellaneous

Outstanding Shares
5,186,410,000
Free Float
5,128,845,000
Market Cap
$967.94 billion
Optionable
Optionable
Beta
1.14

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Key Executives

  • Dr. C. C.  WeiDr. C. C. Wei
    Vice Chairman & CEO
  • Mr. Jen-Chau Huang
    Senior VP of Finance & CFO
  • Mr. Y. P. Chyn
    Executive VP of Operations & Overseas Operations Office and Co-COO
  • Dr. Y. J. Mii
    Executive VP of Research & Development and Co-COO
  • Dr. Horng-Dar Lin
    Vice President of Corporate Information Technology & Chief Information Officer
  • Jeff Su
    Director of Investor Relations
  • Ms. Sylvia Fang
    Senior VP of Legal, General Counsel & Corporate Governance Officer
  • Ms. Elizabeth Sun
    Senior Director of Corporate Communication Division
  • Ms. Li Mei He Ho
    Senior Vice President of Human Resources
  • Dr. Wei-Jen Lo
    Senior Vice President of Corporate Strategy Development

Should I Buy Taiwan Semiconductor Manufacturing Stock? TSM Pros and Cons Explained

Pros

Here are some ways that investors could benefit from investing in Taiwan Semiconductor Manufacturing:

  • Taiwan Semiconductor Manufacturing has a strong financial position with a low debt-to-equity ratio of 0.27, indicating a healthy balance between debt and equity.
  • The company has a solid liquidity position with quick and current ratios above 2, showcasing its ability to meet short-term obligations.
  • With a market capitalization of $890.45 billion, Taiwan Semiconductor Manufacturing is a major player in the semiconductor industry, providing stability and potential for growth.
  • The company's dividend yield of 1.13% and a history of increasing dividends can be attractive to income-oriented investors seeking regular income streams.
  • Analysts have set a positive average price target of $173.60 for Taiwan Semiconductor Manufacturing, indicating potential upside for investors.

Cons

Investors should be bearish about investing in Taiwan Semiconductor Manufacturing for these reasons:

  • While the P/E ratio of 32.71 suggests growth potential, investors should be cautious of potentially overvalued stock prices compared to earnings.
  • The price-to-earnings-growth ratio of 1.18 may indicate that the stock is already fairly valued, limiting potential for significant future growth.
  • Despite positive analyst ratings, there is always inherent risk in investing in individual stocks, especially in a volatile industry like semiconductors.
  • Market conditions and geopolitical factors can impact semiconductor companies, leading to fluctuations in stock prices and potential investment risks.
  • Investors should consider diversifying their portfolios to mitigate risks associated with investing in a single company, even one as prominent as Taiwan Semiconductor Manufacturing.
These pros and cons were generated based on recent news and financial data from MarketBeat in order to provide readers with the fastest and most accurate insights. They were last updated on Sunday, July 7, 2024. Please send any questions or comments about these Taiwan Semiconductor Manufacturing pros and cons to contact@marketbeat.com.

TSM Stock Analysis - Frequently Asked Questions

How have TSM shares performed this year?

Taiwan Semiconductor Manufacturing's stock was trading at $104.00 at the beginning of 2024. Since then, TSM shares have increased by 79.5% and is now trading at $186.63.
View the best growth stocks for 2024 here
.

How were Taiwan Semiconductor Manufacturing's earnings last quarter?

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) issued its quarterly earnings results on Thursday, April, 18th. The semiconductor company reported $1.38 EPS for the quarter, topping the consensus estimate of $1.29 by $0.09. The semiconductor company had revenue of $18.87 billion for the quarter, compared to analysts' expectations of $18.38 billion. Taiwan Semiconductor Manufacturing had a trailing twelve-month return on equity of 24.75% and a net margin of 38.15%.

What is Morris Chang's approval rating as Taiwan Semiconductor Manufacturing's CEO?

289 employees have rated Taiwan Semiconductor Manufacturing Chief Executive Officer Morris Chang on Glassdoor.com. Morris Chang has an approval rating of 96% among the company's employees. This puts Morris Chang in the top 30% of approval ratings compared to other CEOs of publicly-traded companies.

Does Taiwan Semiconductor Manufacturing have any subsidiaries?

The following companies are subsidiaries of Taiwan Semiconductor Manufacturing: Growth Fund Limited, InveStar Semiconductor Development Fund Inc., InveStar Semiconductor Development Fund Inc. (II) LDC., TSMC China Company Limited, TSMC Design Technology Canada Inc., TSMC Development Inc., TSMC Europe B.V., and others.

Who are Taiwan Semiconductor Manufacturing's major shareholders?

Top institutional investors of Taiwan Semiconductor Manufacturing include DNB Asset Management AS (0.03%), Trinity Street Asset Management LLP (0.02%), Boston Common Asset Management LLC (0.01%) and Westend Capital Management LLC.
View institutional ownership trends
.

How do I buy shares of Taiwan Semiconductor Manufacturing?

Shares of TSM stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

What other stocks do shareholders of Taiwan Semiconductor Manufacturing own?

Based on aggregate information from My MarketBeat watchlists, some other companies that Taiwan Semiconductor Manufacturing investors own include NVIDIA (NVDA), Advanced Micro Devices (AMD), Intel (INTC), Alibaba Group (BABA), QUALCOMM (QCOM), Micron Technology (MU) and Cisco Systems (CSCO).

This page (NYSE:TSM) was last updated on 7/9/2024 by MarketBeat.com Staff

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