Taiwan Semiconductor Manufacturing (NYSE:TSM) Trading 2.6% Higher – Should You Buy?

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)’s share price traded up 2.6% on Wednesday . The company traded as high as $178.13 and last traded at $175.37. 5,840,040 shares traded hands during trading, a decline of 68% from the average session volume of 18,066,869 shares. The stock had previously closed at $170.97.

Analyst Ratings Changes

A number of analysts have recently weighed in on the stock. Barclays increased their target price 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. StockNews.com lowered shares of Taiwan Semiconductor Manufacturing from a “buy” rating to a “hold” rating in a report on Tuesday, January 28th. Finally, Needham & Company LLC restated a “buy” rating and issued a $225.00 price objective on shares of Taiwan Semiconductor Manufacturing in a report on Tuesday, February 18th. Two analysts have rated the stock with a hold rating and four have issued a buy rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $220.00.

Taiwan Semiconductor Manufacturing Stock Up 3.6 %

The firm has a market cap of $918.63 billion, a P/E ratio of 25.15, a P/E/G ratio of 0.66 and a beta of 1.13. The company has a debt-to-equity ratio of 0.24, a current ratio of 2.57 and a quick ratio of 2.30. The stock’s 50 day simple moving average is $200.93 and its two-hundred day simple moving average is $191.93.

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 net margin of 40.51% and a return on equity of 30.47%. As a group, research analysts forecast that Taiwan Semiconductor Manufacturing Company Limited will post 9.2 earnings per share for the current year.

Taiwan Semiconductor Manufacturing Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, July 10th. Stockholders of record on Thursday, June 12th will be paid a dividend of $0.6855 per share. This represents a $2.74 annualized dividend and a dividend yield of 1.55%. The ex-dividend date of this dividend is Thursday, June 12th. This is a boost from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $0.55. Taiwan Semiconductor Manufacturing’s dividend payout ratio (DPR) is currently 30.68%.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the company. Mount Yale Investment Advisors LLC increased its holdings in Taiwan Semiconductor Manufacturing by 4.3% in the 4th quarter. Mount Yale Investment Advisors LLC now owns 35,709 shares of the semiconductor company’s stock valued at $7,052,000 after acquiring an additional 1,476 shares during the last quarter. McHugh Group LLC purchased a new stake in Taiwan Semiconductor Manufacturing in the 4th quarter valued at about $605,000. OLD National Bancorp IN boosted its position in Taiwan Semiconductor Manufacturing by 2.1% in the 4th quarter. OLD National Bancorp IN now owns 113,205 shares of the semiconductor company’s stock valued at $22,357,000 after buying an additional 2,368 shares during the period. Hardman Johnston Global Advisors LLC lifted its position in shares of Taiwan Semiconductor Manufacturing by 7.6% in the 4th quarter. Hardman Johnston Global Advisors LLC now owns 381,432 shares of the semiconductor company’s stock worth $75,329,000 after purchasing an additional 26,847 shares during the period. Finally, Private Client Services LLC purchased a new stake in shares of Taiwan Semiconductor Manufacturing in the 4th quarter worth approximately $201,000. 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.