Taiwan Semiconductor Manufacturing (NYSE:TSM) Shares Down 1.2% – Should You Sell?

Shares of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) dropped 1.2% during mid-day trading on Thursday . The company traded as low as $197.80 and last traded at $198.62. Approximately 4,678,652 shares were traded during trading, a decline of 73% from the average daily volume of 17,103,588 shares. The stock had previously closed at $200.95.

Wall Street Analysts Forecast Growth

TSM has been the topic of a number of recent analyst reports. StockNews.com downgraded Taiwan Semiconductor Manufacturing from a “buy” rating to a “hold” rating in a research report on Tuesday, January 28th. Barclays upped their price target on Taiwan Semiconductor Manufacturing from $240.00 to $255.00 and gave the stock an “overweight” rating in a research report on Friday, January 17th. Finally, Needham & Company LLC reaffirmed a “buy” rating and set a $225.00 price target on shares of Taiwan Semiconductor Manufacturing in a research report on Tuesday. Two investment analysts have rated the stock with a hold rating and four have issued a buy rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $220.00.

Taiwan Semiconductor Manufacturing Stock Performance

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 company has a market capitalization of $1.03 trillion, a PE ratio of 28.18, a price-to-earnings-growth ratio of 0.66 and a beta of 1.06. The firm’s fifty day simple moving average is $205.80 and its 200 day simple moving average is $190.57.

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

Taiwan Semiconductor Manufacturing Increases Dividend

The company also recently announced 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 is a positive change from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $0.55. This represents a $2.74 annualized dividend and a dividend yield of 1.38%. The ex-dividend date of this dividend is Thursday, June 12th. Taiwan Semiconductor Manufacturing’s dividend payout ratio is presently 27.27%.

Institutional Investors Weigh In On Taiwan Semiconductor Manufacturing

Hedge funds have recently modified their holdings of the company. Putney Financial Group LLC purchased a new position in Taiwan Semiconductor Manufacturing in the 4th quarter valued at about $1,614,000. Value Partners Investments Inc. purchased a new position in Taiwan Semiconductor Manufacturing in the 4th quarter valued at about $161,000. Vermillion Wealth Management Inc. purchased a new position in Taiwan Semiconductor Manufacturing in the 4th quarter valued at about $101,000. Forum Financial Management LP lifted its stake in Taiwan Semiconductor Manufacturing by 10.1% in the 4th quarter. Forum Financial Management LP now owns 1,425 shares of the semiconductor company’s stock valued at $281,000 after buying an additional 131 shares in the last quarter. Finally, Baer Investment Advisory LLC purchased a new position in Taiwan Semiconductor Manufacturing in the 4th quarter valued at about $170,000. 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.