Taiwan Semiconductor Manufacturing Target of Unusually High Options Trading (NYSE:TSM)

Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) was the target of unusually large options trading activity on Friday. Stock investors purchased 175,290 call options on the stock. Thisisanincreaseof46% compared to the typical daily volume of 120,213 call options.

Wall Street Analyst Weigh In

Several brokerages recently issued reports on TSM. Barclays reissued an “overweight” rating and set a $240.00 target price (up from $215.00) on shares of Taiwan Semiconductor Manufacturing in a research note on Tuesday, June 3rd. Citigroup restated a “buy” rating on shares of Taiwan Semiconductor Manufacturing in a report on Thursday, May 22nd. Wall Street Zen downgraded shares of Taiwan Semiconductor Manufacturing from a “buy” rating to a “hold” rating in a report on Saturday, August 23rd. Susquehanna upped their price objective on shares of Taiwan Semiconductor Manufacturing from $255.00 to $265.00 and gave the stock a “positive” rating in a report on Monday, July 14th. Finally, Needham & Company LLC restated a “buy” rating and set a $270.00 price objective on shares of Taiwan Semiconductor Manufacturing in a report on Thursday, July 17th. Four equities research analysts have rated the stock with a Buy rating, Based on data from MarketBeat, the company has a consensus rating of “Buy” and a consensus price target of $258.33.

Taiwan Semiconductor Manufacturing Stock Performance

Shares of TSM stock opened at $231.01 on Friday. The firm has a 50-day moving average of $234.90 and a 200-day moving average of $199.83. The company has a market cap of $1.20 trillion, a P/E ratio of 26.34, a P/E/G ratio of 1.13 and a beta of 1.19. The company has a debt-to-equity ratio of 0.20, a current ratio of 2.37 and a quick ratio of 2.15. Taiwan Semiconductor Manufacturing has a one year low of $134.25 and a one year high of $248.28.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last announced its earnings results on Thursday, July 17th. The semiconductor company reported $2.47 EPS for the quarter, beating the consensus estimate of $2.13 by $0.34. The company had revenue of $30.07 billion during the quarter, compared to the consensus estimate of $28.50 billion. Taiwan Semiconductor Manufacturing had a net margin of 42.91% and a return on equity of 33.37%. The firm’s revenue for the quarter was up 44.4% on a year-over-year basis. During the same quarter in the prior year, the company posted $1.48 earnings per share. Taiwan Semiconductor Manufacturing has set its Q3 2025 guidance at EPS. Equities research analysts forecast that Taiwan Semiconductor Manufacturing will post 9.2 EPS for the current fiscal year.

Taiwan Semiconductor Manufacturing Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, January 8th. Stockholders of record on Thursday, December 11th will be issued a $0.8348 dividend. This is an increase from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $0.65. This represents a $3.34 annualized dividend and a dividend yield of 1.4%. The ex-dividend date is Thursday, December 11th. Taiwan Semiconductor Manufacturing’s dividend payout ratio is currently 28.16%.

Institutional Trading of Taiwan Semiconductor Manufacturing

Several institutional investors and hedge funds have recently made changes to their positions in TSM. Total Investment Management Inc. purchased a new stake in Taiwan Semiconductor Manufacturing during the second quarter worth about $78,000. Centaurus Financial Inc. increased its holdings in Taiwan Semiconductor Manufacturing by 14.2% during the second quarter. Centaurus Financial Inc. now owns 22,726 shares of the semiconductor company’s stock worth $5,147,000 after buying an additional 2,819 shares during the last quarter. Orion Porfolio Solutions LLC increased its holdings in Taiwan Semiconductor Manufacturing by 6.1% during the second quarter. Orion Porfolio Solutions LLC now owns 141,110 shares of the semiconductor company’s stock worth $31,960,000 after buying an additional 8,066 shares during the last quarter. BLVD Private Wealth LLC purchased a new stake in Taiwan Semiconductor Manufacturing during the second quarter worth about $291,000. Finally, Thompson Davis & CO. Inc. purchased a new stake in Taiwan Semiconductor Manufacturing during the second quarter worth about $250,000. Hedge funds and other institutional investors own 16.51% of the company’s stock.

About Taiwan Semiconductor Manufacturing

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.