Taiwan Semiconductor Manufacturing (NYSE:TSM) Trading Down 3.2% – Here’s Why

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)’s stock price traded down 3.2% during trading on Wednesday . The stock traded as low as $174.51 and last traded at $175.13. 4,599,907 shares were traded during mid-day trading, a decline of 69% from the average session volume of 14,988,645 shares. The stock had previously closed at $180.90.

Wall Street Analysts Forecast Growth

A number of research analysts have recently commented on the company. StockNews.com downgraded Taiwan Semiconductor Manufacturing from a “buy” rating to a “hold” rating in a report on Tuesday, January 28th. Needham & Company LLC reaffirmed a “buy” rating and issued a $225.00 price target on shares of Taiwan Semiconductor Manufacturing in a report on Tuesday, February 18th. Finally, Barclays raised their price objective on shares of Taiwan Semiconductor Manufacturing from $240.00 to $255.00 and gave the stock an “overweight” rating in a report on Friday, January 17th. Two research analysts have rated the stock with a hold rating and four have given a buy rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $220.00.

Taiwan Semiconductor Manufacturing Price Performance

The firm has a market cap of $894.47 billion, a PE ratio of 24.51, a price-to-earnings-growth ratio of 0.66 and a beta of 1.13. The company has a 50 day moving average price of $194.86 and a 200 day moving average price of $192.62. The company has a current ratio of 2.57, a quick ratio of 2.30 and a debt-to-equity ratio of 0.24.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last posted its earnings results on Thursday, January 16th. The semiconductor company reported $2.24 EPS for the quarter, topping analysts’ consensus estimates of $2.16 by $0.08. Taiwan Semiconductor Manufacturing had a return on equity of 30.47% and a net margin of 40.51%. On average, sell-side analysts expect that Taiwan Semiconductor Manufacturing Company Limited will post 9.2 EPS for the current year.

Taiwan Semiconductor Manufacturing Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, July 10th. Investors of record on Thursday, June 12th will be paid a $0.6855 dividend. This represents a $2.74 dividend on an annualized basis and a yield of 1.59%. This is a boost from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $0.55. The ex-dividend date is Thursday, June 12th. Taiwan Semiconductor Manufacturing’s dividend payout ratio is presently 30.68%.

Institutional Trading of Taiwan Semiconductor Manufacturing

Several institutional investors and hedge funds have recently modified their holdings of TSM. FMR LLC raised its position in shares of Taiwan Semiconductor Manufacturing by 4.6% during the 4th quarter. FMR LLC now owns 58,547,257 shares of the semiconductor company’s stock worth $11,562,498,000 after purchasing an additional 2,572,488 shares during the last quarter. Sanders Capital LLC raised its holdings in shares of Taiwan Semiconductor Manufacturing by 0.6% in the fourth quarter. Sanders Capital LLC now owns 41,877,457 shares of the semiconductor company’s stock worth $8,270,379,000 after acquiring an additional 231,310 shares during the last quarter. Capital World Investors raised its holdings in shares of Taiwan Semiconductor Manufacturing by 0.8% in the fourth quarter. Capital World Investors now owns 35,602,400 shares of the semiconductor company’s stock worth $7,031,632,000 after acquiring an additional 294,316 shares during the last quarter. Capital International Investors lifted its position in shares of Taiwan Semiconductor Manufacturing by 8.2% in the fourth quarter. Capital International Investors now owns 22,210,222 shares of the semiconductor company’s stock valued at $4,391,957,000 after acquiring an additional 1,683,256 shares in the last quarter. Finally, Van ECK Associates Corp increased its position in Taiwan Semiconductor Manufacturing by 6.0% during the 4th quarter. Van ECK Associates Corp now owns 19,392,159 shares of the semiconductor company’s stock worth $3,829,757,000 after purchasing an additional 1,102,166 shares in 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 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.