Taiwan Semiconductor Manufacturing (NYSE:TSM) Shares Down 3% – Should You Sell?

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) was down 3% on Monday . The stock traded as low as $183.71 and last traded at $184.47. Approximately 6,362,393 shares changed hands during trading, a decline of 58% from the average daily volume of 15,304,020 shares. The stock had previously closed at $190.08.

Analyst Ratings Changes

A number of equities research analysts have issued reports on the company. Susquehanna reaffirmed a “buy” rating on shares of Taiwan Semiconductor Manufacturing in a research report on Friday, October 18th. StockNews.com cut shares of Taiwan Semiconductor Manufacturing from a “buy” rating to a “hold” rating in a report on Sunday, November 17th. Barclays boosted their price target on shares of Taiwan Semiconductor Manufacturing from $215.00 to $240.00 and gave the stock an “overweight” rating in a report on Monday, November 18th. Finally, Needham & Company LLC restated a “buy” rating and issued a $210.00 price target on shares of Taiwan Semiconductor Manufacturing in a research note on Thursday, October 17th. Two equities 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, the company presently has a consensus rating of “Moderate Buy” and an average price target of $214.00.

Taiwan Semiconductor Manufacturing Stock Performance

The firm’s fifty day moving average price is $188.85 and its 200-day moving average price is $174.71. The company has a current ratio of 2.57, a quick ratio of 2.30 and a debt-to-equity ratio of 0.24. The firm has a market cap of $939.73 billion, a price-to-earnings ratio of 29.04, a PEG ratio of 0.85 and a beta of 1.12.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last released its quarterly earnings data on Thursday, October 17th. The semiconductor company reported $1.94 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.74 by $0.20. Taiwan Semiconductor Manufacturing had a net margin of 39.10% and a return on equity of 27.44%. The company had revenue of $23.50 billion during the quarter, compared to the consensus estimate of $22.72 billion. Analysts expect that Taiwan Semiconductor Manufacturing Company Limited will post 6.95 earnings per share for the current year.

Taiwan Semiconductor Manufacturing Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, April 10th. Shareholders of record on Tuesday, March 18th will be paid a $0.5484 dividend. The ex-dividend date is Tuesday, March 18th. This represents a $2.19 dividend on an annualized basis and a yield of 1.21%. This is a boost from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $0.49. Taiwan Semiconductor Manufacturing’s payout ratio is currently 31.57%.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the business. Franklin Resources Inc. lifted its position in Taiwan Semiconductor Manufacturing by 13.2% during the 3rd quarter. Franklin Resources Inc. now owns 6,423,734 shares of the semiconductor company’s stock worth $1,234,706,000 after acquiring an additional 750,515 shares during the period. Peapack Gladstone Financial Corp lifted its holdings in shares of Taiwan Semiconductor Manufacturing by 5.5% during the third quarter. Peapack Gladstone Financial Corp now owns 23,353 shares of the semiconductor company’s stock worth $4,055,000 after purchasing an additional 1,207 shares during the period. Synovus Financial Corp grew its position in Taiwan Semiconductor Manufacturing by 299.8% in the 3rd quarter. Synovus Financial Corp now owns 30,955 shares of the semiconductor company’s stock valued at $5,376,000 after buying an additional 23,213 shares during the last quarter. Arvest Bank Trust Division acquired a new position in Taiwan Semiconductor Manufacturing in the 3rd quarter valued at $345,000. Finally, World Investment Advisors LLC raised its position in Taiwan Semiconductor Manufacturing by 4,575.5% during the 3rd quarter. World Investment Advisors LLC now owns 55,638 shares of the semiconductor company’s stock worth $9,663,000 after buying an additional 54,448 shares during the last quarter. 16.51% of the stock is owned by hedge funds and other institutional investors.

Taiwan Semiconductor Manufacturing Company Profile

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.