How to Buy Taiwan Semiconductor Manufacturing Co Stock
Taiwan Semiconductor Manufacturing Co Ltd
Taiwan Semiconductor Manufacturing Co is a semiconductor company located in Taiwan, which is part of the Technology sector, and is traded under the ticker TSM on the NYSE exchange.
Taiwan Semiconductor Manufacturing Co stock last closed at $85.64, up 0.33% from the previous day, and has increased 13.24% in one year. It has underperformed other stocks in the Semiconductors industry by 0.11 percentage points. Taiwan Semiconductor Manufacturing Co stock is currently +44.1% from its 52-week low of $59.43, and -22.63% from its 52-week high of $110.69.
As of Sep 22, 2023, there are 25.93B TSM shares outstanding. The market value of TSM is $444.16B. In the past 24 hours, 7.97M TSM shares were traded.
How to Buy Taiwan Semiconductor Manufacturing Co Stock
Not sure how to invest in Taiwan Semiconductor Manufacturing Co stock? Here's how.
- Choose where to buy Taiwan Semiconductor Manufacturing Co stock: You need to pick an online brokerage, but don't worry - we've tried dozens of online stock brokerages and apps to help you choose where to buy Taiwan Semiconductor Manufacturing Co stock.
- Sign up for your brokerage account: Sign up for 0% commission trading with the highest-rated brokerage we've identified.
- Deposit money your brokerage account: Pick your method of payment and add your information.
- Evaluate Taiwan Semiconductor Manufacturing Co stock: The Taiwan Semiconductor Manufacturing Co ticker symbol is TSM. Is Taiwan Semiconductor Manufacturing Co stock a good investment? Should you buy shares of TSM? How do TSM's underlying business fundamentals look? Do top analysts think Taiwan Semiconductor Manufacturing Co is a good buy? Why has TSM's stock price moved recently? (Hint: Our stock market analysis tools can help you decide if TSM is a good stock to buy).
- Place your TSM purchase: Decide if you will purchase TSM shares at the current market price or use a limit order to buy TSM stock at a given price.
- Monitor your investment in TSM: Create a watchlist to important notifications about your new investment in Taiwan Semiconductor Manufacturing Co stock.
Step 1: Choose where to buy Taiwan Semiconductor Manufacturing Co stock
You need a brokerage account in order to access the NYSE market and buy TSM shares.
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Open eToro AccountStep 2: Sign up for your brokerage account
Now that you've chosen your brokerage, it's time to fill out some personal details so you are able to invest in TSM today.
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- Click here to get started.
- Provide your personal data to start a new trading account.
- Send your info by pressing the "Create Account" button.
Step 3: Deposit money your brokerage account
Now that you've created your account on the best stock trading app, you can securely and quickly fund your account:
Check out the tutorial below to see the process of transferring money into your new brokerage account.
Step 4: Evaluate Taiwan Semiconductor Manufacturing Co stock
After you have identified the best place to buy Taiwan Semiconductor Manufacturing Co stock, it's critical to research their stock before you buy, so you truly understand the risk and opportunity.
Taiwan Semiconductor Manufacturing Co shares at a glance
TSM Fundamentals
WallStreetZen was designed to help part-time investors do more accurate fundamental analysis.
You can see all of the due diligence checks on TSM's stock page.
Is TSM stock properly valued?
Investors use many financial metrics, analyses, models, and charts to gauge TSM's true value.
Using relative valuations methods:
- TSM could be undervalued based on its P/E ratio of 14.76x, relative to Semiconductors industry P/E ratio of -223.42x
- TSM may be undervalued based on its P/B ratio of 4.36x, relative to Semiconductors industry P/B ratio of 5.37x
- TSM could be undervalued based on its PEG ratio of 0.76x
You can access additional valuation analysis on TSM's stock here.
TSM Financial Overview
Passed Financial Due Diligence Checks:
- TSM's operating cash flow of $51.11B allows it to safely service it's debt of $29.95B.
- There are more short-term assets than long-term liabilities on the TSM balance sheet.
- TSM profit margin has gone up from 40.4% to 42.3% in the past year.
- TSM earnings of $35.89B is not sufficient to cover its interest payments.
- There are more short-term assets than short-term liabilities on the TSM balance sheet.
Failed Financial Due Diligence Checks:
- TSM has a relatively high debt to equity ratio of 0.61.
- Total TSM debt is higher than 5 years ago, relative to shareholder equity.
Is TSM stock a Buy, Hold, or Sell, according to analysts?
Out of 2 Equities analysts who research TSM, the consensus analyst rating on Taiwan Semiconductor Manufacturing Co is a Strong Buy
It's important to note that analyst forecasts are not recommendations, nor are they financial advice.
Most Recent TSM Analyst Ratings
Charles Shi, a bottom 24% analyst from Needham maintains TSM with a buy rating and lowers their TSM price target from $118.00 to $115.00, on Jul 21, 2023.
Needham's Charles Shi lowered their price target on Taiwan Semiconductor Manufacturing Co Ltd (NYSE: TSM) by 2.54% from $118.00 to $115.00 on 2023/07/21. The analyst maintained their Buy rating on the stock.
The company posted a "sobering" Q2 print in spite of the "AI craze" environment, the analyst summarized.
Even with elevated demand from the AI boom, the chip manufacturer's largest segment continued to suffer from smartphone demand weakness, Shi detailed, noting that the company's Capex "is trending lower into 2024."
Footnotes
For Q2 2023, TSMC reported:
- EPS of NT$7.01 ($1.14), which missed Q2 2022’s NT$9.14 by 23.3%.
- Revenue of NT$480.84B ($15.68B), which missed Q2 2022’s NT$534.14B by 10%.
- Gross margin of 54.1%.
- Operating margin of 42%.
Management guided for Q3 2023:
- Revenue of $16.7B to $17.5B.
- Gross margin of 51.5% to 53.5%.
- Operating margin of 38% to 40%.
CEO Wendell Huang commented: “Our Q2 business was impacted by overall global economic conditions, which dampened end market demand, and led to customers’ ongoing inventory adjustments.
“Moving into Q3 2023, we expect our business to be supported by the strong ramp of our 3-nanomenter technologies, partially offset by customers’ continued inventory adjustments.”
Mehdi Hosseini, a top 23% analyst from Susquehanna maintains TSM with a strong buy rating and raises their TSM price target from $128.00 to $135.00, on Jul 14, 2023.
You can dig deeper into what analysts are saying on the Taiwan Semiconductor Manufacturing Co stock forecast page.
Metrics for Advanced TSM Traders
How is TSM performing as a company?
Last year, TSM earnings were $30.10B. During the last four year, TSM's earnings have grown by 26.69% per year. This was faster than the Semiconductors industry average of 18.7%.
Last year, TSM revenue was $71.21B. Over the past five year, TSM's revenue has gone up by 16.73% per year. This was faster than the Semiconductors industry average of 15.88%.
Dive into TSM's earnings and revenue performance here.
Who is buying/selling TSM?
In the past year, insiders at TSM have not bought or sold any shares.
Get more info about who owns TSM shares here.
Does TSM stock generate passive income?
Taiwan Semiconductor Manufacturing Co pays a dividend of 2.12%, compared to the Semiconductors industry's average dividend yield of 9.88%. If you owned $1,000 worth of TSM stock, you would have received $21.24 in the past year.
Taiwan Semiconductor Manufacturing Co dividend payments have consistently grown over the past decade but have not remained stable.
Get more analysis about Taiwan Semiconductor Manufacturing Co dividend yield and history here.
What do other traders have to say about TSM?
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Step 5: Place your TSM purchase
You have two main types of orders:
- Market order: A market order is an order to buy or sell a security at the best available price.
Market orders are usually fine for most investors. - Limit order: A limit order lets you buy or sell a security at a specific price (or better).
If you want to ensure you're buying or selling at a specific price limit, place a limit order.
Hit the Open Trade button and your broker will execute the order.
If you require additional help with buying stocks on eToro, click the helpful video below:
Step 6: Monitor your investment in TSM
Now that you own some shares in TSM, you'll want to keep up with your new shares.
Put TSM on a watchlist to get the latest updates about your TSM stock.
TSM Feed
How to Buy Stock in Taiwan Semiconductor Manufacturing Co
To reiterate, here are the 6 steps to buy stock in Taiwan Semiconductor Manufacturing Co:
- Choose where to buy Taiwan Semiconductor Manufacturing Co stock
- Sign up for your brokerage account
- Deposit money your brokerage account
- Evaluate Taiwan Semiconductor Manufacturing Co stock
- Place your TSM purchase
- Monitor your investment in TSM
If you are looking for a place to buy stocks, eToro is our favorite venue.
Get Started with eToro TodayIf you would like to get notifications regarding your new investment in Taiwan Semiconductor Manufacturing Co, add TSM to your watchlist below.
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