Taiwan Semiconductor Manufacturing (NYSE:TSM) Shares Climb 1.6% – Here’s What Happened

23 Oct 2026, 18:41 by Kim Johansen · The Markets Daily

Shares of Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM – Get Free Report) traded up 1.6% during trading on Wednesday. The stock traded as high as $435.16 and last traded at $431.8660. 10,586,801 shares were traded during mid-day trading, a decline of 19% from the average session volume of 13,074,329 shares. The stock had previously closed at $425.08.

Taiwan Semiconductor Manufacturing News Summary

Here are the key news stories impacting Taiwan Semiconductor Manufacturing this week:

Positive Sentiment: TSMC reported its sixth consecutive quarter of record profit, underscoring the strength of demand for advanced chips used in artificial intelligence, smartphones and data centers. However, the accompanying margin pressure limited the stock’s benefit. Taiwan Semiconductor Posted Record Profit and the Stock Still Fell
Positive Sentiment: Erste Group Bank raised its TSMC earnings estimates to $17.21 per share for FY2026 and $22.82 for FY2027, above its previous forecasts and signaling confidence in continued earnings growth.
Positive Sentiment: Moody’s upgraded TSMC’s issuer rating to Aa2 from Aa3 and cited the company’s dominant foundry position, strong balance sheet and persistent AI demand. The outlook was changed to stable from positive. Moody’s Upgrades TSMC Rating
Positive Sentiment: Analysts continued to describe TSMC as a critical infrastructure provider for global computing, with hundreds of customers and a key role in AI-chip production. Its scale, manufacturing yields and advanced packaging provide advantages over emerging foundry competitors. The Foundry Disconnect
Neutral Sentiment: TSMC confirmed discussions with SpaceX regarding its proposed Terafab facility, but any partnership could depend on TSMC operating the plant, so the opportunity remains preliminary. TSMC and SpaceX Terafab Discussions
Negative Sentiment: Investors worried that the modest gross-margin decline could signal rising costs from overseas expansion, advanced-node production and capacity investments, making it harder for record revenue growth to translate into equivalent profit growth. Taiwan Semiconductor Posted Record Profit and the Stock Still Fell

Analyst Upgrades and Downgrades

Several equities research analysts have recently issued reports on TSM shares. Weiss Ratings raised Taiwan Semiconductor Manufacturing from a “hold (c+)” rating to a “buy (b)” rating in a report on Wednesday. Needham & Company LLC increased their price target on Taiwan Semiconductor Manufacturing from $530.00 to $560.00 and gave the company a “buy” rating in a research note on Thursday, October 15th. Citigroup restated a “buy” rating on shares of Taiwan Semiconductor Manufacturing in a report on Wednesday, October 7th. Zacks Research raised Taiwan Semiconductor Manufacturing from a “hold” rating to a “strong-buy” rating in a research note on Thursday, July 16th. Finally, Stifel Nicolaus started coverage on Taiwan Semiconductor Manufacturing in a report on Tuesday, September 1st. They set a “buy” rating and a $515.00 price objective on the stock. Three investment analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating and one has issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Buy” and an average price target of $528.78.

Read Our Latest Stock Report on Taiwan Semiconductor Manufacturing

Taiwan Semiconductor Manufacturing Stock Performance

The company has a market capitalization of $2.16 trillion, a P/E ratio of 26.86, a P/E/G ratio of 0.88 and a beta of 1.37. The business has a 50-day moving average of $434.47 and a 200-day moving average of $420.16. The company has a debt-to-equity ratio of 0.14, a current ratio of 2.46 and a quick ratio of 2.25.

Taiwan Semiconductor Manufacturing (NYSE:TSM – Get Free Report) last released its quarterly earnings results on Tuesday, September 8th. The semiconductor company reported $4.62 EPS for the quarter. Taiwan Semiconductor Manufacturing had a net margin of 51.51% and a return on equity of 42.84%. The firm had revenue of $46.87 billion during the quarter. On average, sell-side analysts anticipate that Taiwan Semiconductor Manufacturing Company Ltd. will post 17.03 EPS for the current year.

Taiwan Semiconductor Manufacturing Cuts Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, January 7th. Stockholders of record on Thursday, December 10th will be paid a dividend of $1.0854 per share. This is a negative change from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $1.1136. This represents a $4.34 dividend on an annualized basis and a dividend yield of 1.0%. The ex-dividend date of this dividend is Thursday, December 10th. Taiwan Semiconductor Manufacturing’s payout ratio is currently 22.27%.

Insider Activity at Taiwan Semiconductor Manufacturing

In other Taiwan Semiconductor Manufacturing news, VP Bor-Zen Tien purchased 1,000 shares of the firm’s stock in a transaction that occurred on Monday, August 3rd. The stock was purchased at an average cost of $73.06 per share, with a total value of $73,060.00. Following the purchase, the vice president owned 14,051 shares of the company’s stock, valued at approximately $1,026,566.06. The trade was a 7.66% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, VP Lipen Yuan acquired 350 shares of the business’s stock in a transaction on Tuesday, August 18th. The stock was acquired at an average cost of $73.58 per share, for a total transaction of $25,753.00. Following the transaction, the vice president directly owned 2,000 shares in the company, valued at $147,160. The trade was a 21.21% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Over the last quarter, insiders bought 8,043 shares of company stock worth $598,956. Company insiders own 1.11% of the company’s stock.

Institutional Investors Weigh In On Taiwan Semiconductor Manufacturing

Several large investors have recently added to or reduced their stakes in TSM. Brookstone Capital Management increased its holdings in shares of Taiwan Semiconductor Manufacturing by 87.3% in the 2nd quarter. Brookstone Capital Management now owns 25,143 shares of the semiconductor company’s stock valued at $12,008,000 after acquiring an additional 11,719 shares during the period. Y Intercept Hong Kong Ltd raised its position in shares of Taiwan Semiconductor Manufacturing by 273.2% in the 1st quarter. Y Intercept Hong Kong Ltd now owns 81,189 shares of the semiconductor company’s stock worth $27,438,000 after acquiring an additional 59,435 shares in the last quarter. Opal Capital LLC lifted its stake in shares of Taiwan Semiconductor Manufacturing by 72.5% during the 1st quarter. Opal Capital LLC now owns 27,767 shares of the semiconductor company’s stock worth $9,384,000 after purchasing an additional 11,666 shares during the last quarter. Western Wealth Management LLC lifted its stake in shares of Taiwan Semiconductor Manufacturing by 27.4% during the 1st quarter. Western Wealth Management LLC now owns 27,954 shares of the semiconductor company’s stock worth $9,447,000 after purchasing an additional 6,013 shares during the last quarter. Finally, Elevation Point Wealth Partners LLC lifted its stake in shares of Taiwan Semiconductor Manufacturing by 306.7% during the 1st quarter. Elevation Point Wealth Partners LLC now owns 52,397 shares of the semiconductor company’s stock worth $17,728,000 after purchasing an additional 39,514 shares during the last quarter. 16.51% of the stock is owned by hedge funds and other institutional investors.

Taiwan Semiconductor Manufacturing Company Profile

(Get Free Report)

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM), commonly known as TSMC, is a dedicated semiconductor foundry headquartered in Hsinchu, Taiwan. The company manufactures integrated circuits for customers that design their own chips, allowing semiconductor, electronics, and technology companies to outsource production rather than operate their own fabrication facilities.

TSMC provides wafer fabrication services across a broad range of process technologies, including advanced nodes used in high-performance computing, smartphones, automotive systems, and artificial intelligence applications.