Erste Group Bank Has Strong Forecast for TSM FY2026 Earnings

Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) – Erste Group Bank boosted their FY2026 earnings estimates for shares of Taiwan Semiconductor Manufacturing in a research report issued on Thursday, August 27th. Erste Group Bank analyst H. Engel now expects that the semiconductor company will post earnings per share of $16.72 for the year, up from their previous forecast of $16.69. The consensus estimate for Taiwan Semiconductor Manufacturing’s current full-year earnings is $16.45 per share. Erste Group Bank also issued estimates for Taiwan Semiconductor Manufacturing’s FY2027 earnings at $21.61 EPS.

TSM has been the topic of several other research reports. Citigroup restated a “buy” rating on shares of Taiwan Semiconductor Manufacturing in a research note on Monday, July 6th. Wall Street Zen cut Taiwan Semiconductor Manufacturing from a “strong-buy” rating to a “buy” rating in a research note on Saturday, August 8th. Susquehanna boosted their target price on Taiwan Semiconductor Manufacturing from $575.00 to $600.00 and gave the stock a “positive” rating in a report on Thursday, July 16th. Stifel Nicolaus set a $515.00 target price on Taiwan Semiconductor Manufacturing in a research note on Tuesday. Finally, Bank of America raised their price target on Taiwan Semiconductor Manufacturing from $490.00 to $590.00 and gave the company a “buy” rating in a report on Wednesday, June 24th. Three analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and one has assigned a Hold rating to the company. According to MarketBeat.com, the stock has an average rating of “Buy” and a consensus target price of $523.22.

Taiwan Semiconductor Manufacturing Price Performance

Shares of NYSE TSM opened at $414.56 on Monday. The company has a 50 day simple moving average of $421.50 and a two-hundred day simple moving average of $397.04. Taiwan Semiconductor Manufacturing has a fifty-two week low of $225.63 and a fifty-two week high of $479.00. The company has a market capitalization of $2.15 trillion, a price-to-earnings ratio of 29.91, a P/E/G ratio of 0.95 and a beta of 1.39. The company has a debt-to-equity ratio of 0.14, a quick ratio of 2.25 and a current ratio of 2.46.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last posted its quarterly earnings data on Tuesday, June 30th. The semiconductor company reported $4.28 EPS for the quarter. The business had revenue of $39.89 billion for the quarter. Taiwan Semiconductor Manufacturing had a net margin of 50.31% and a return on equity of 39.25%.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the business. Fisher Asset Management LLC lifted its stake in Taiwan Semiconductor Manufacturing by 1.8% during the 4th quarter. Fisher Asset Management LLC now owns 18,146,900 shares of the semiconductor company’s stock valued at $5,514,662,000 after acquiring an additional 313,773 shares during the period. Van ECK Associates Corp boosted its holdings in shares of Taiwan Semiconductor Manufacturing by 11.1% during the 4th quarter. Van ECK Associates Corp now owns 17,464,962 shares of the semiconductor company’s stock valued at $5,307,428,000 after acquiring an additional 1,750,824 shares during the last quarter. Bank of America Corp DE boosted its holdings in shares of Taiwan Semiconductor Manufacturing by 6.5% during the 4th quarter. Bank of America Corp DE now owns 15,902,819 shares of the semiconductor company’s stock valued at $4,832,708,000 after acquiring an additional 966,926 shares during the last quarter. Coatue Management LLC grew its stake in shares of Taiwan Semiconductor Manufacturing by 6.9% in the fourth quarter. Coatue Management LLC now owns 8,629,524 shares of the semiconductor company’s stock worth $2,622,426,000 after acquiring an additional 556,988 shares during the period. Finally, Janus Henderson Group PLC grew its stake in shares of Taiwan Semiconductor Manufacturing by 7.7% in the fourth quarter. Janus Henderson Group PLC now owns 8,291,884 shares of the semiconductor company’s stock worth $2,497,638,000 after acquiring an additional 594,780 shares during the period. 16.51% of the stock is owned by institutional investors.

Insider Activity at Taiwan Semiconductor Manufacturing

In other Taiwan Semiconductor Manufacturing news, VP Shyue-Shyh Lin acquired 1,000 shares of the stock in a transaction that occurred on Tuesday, July 21st. The shares were acquired at an average cost of $74.13 per share, with a total value of $74,130.00. Following the transaction, the vice president owned 30,269 shares of the company’s stock, valued at $2,243,840.97. The trade was a 3.42% increase in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, VP Bor-Zen Tien bought 1,000 shares of the business’s stock in a transaction on Monday, August 3rd. The shares were acquired at an average price of $73.06 per share, for a total transaction of $73,060.00. Following the completion of the purchase, the vice president owned 14,051 shares in the company, valued at approximately $1,026,566.06. The trade was a 7.66% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders bought 17,662 shares of company stock valued at $1,307,491 over the last 90 days. Corporate insiders own 1.11% of the company’s stock.

Taiwan Semiconductor Manufacturing Cuts Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, January 7th. Stockholders of record on Thursday, December 10th will be issued a dividend of $1.0854 per share. The ex-dividend date is Thursday, December 10th. This represents a $4.34 dividend on an annualized basis and a dividend yield of 1.0%. Taiwan Semiconductor Manufacturing’s dividend payout ratio is presently 25.32%.

Taiwan Semiconductor Manufacturing News Summary

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

• Positive Sentiment: Bank of America maintained a Buy rating and set a $590 price target, citing TSMC’s leadership in advanced process nodes and silicon photonics, continued artificial-intelligence demand, and an attractive valuation. TSMC Earns Buy Rating as Analyst Sees AI-Driven Upside
• Positive Sentiment: Billionaire investor Daniel Loeb increased his TSMC position by 67%, from 275,000 to 460,000 shares. The move reflects confidence in strong AI-related demand, rising revenue, and profitability. Billionaire Investor Raises TSMC Stake 67%
• Positive Sentiment: Baron Capital highlighted TSMC as a contributor to its strong second-quarter fund performance, reinforcing the investment case around the company’s stellar financial results and structural AI exposure. TSMC Continues to Deliver Stellar Financial Results
• Neutral Sentiment: TSMC made a minor administrative adjustment to its first-quarter 2026 cash-dividend disclosure in a Form 6-K filing. The update does not appear to materially change the company’s income outlook. TSMC Makes Minor Dividend Adjustment
• Neutral Sentiment: Taiwan’s president emphasized that the country’s semiconductor industry is supported by democracy, the rule of law, and reliable supply commitments. The comments support Taiwan’s strategic reputation but offer no immediate earnings catalyst. Taiwan’s Chip Prowess Is Built on Democracy and Rule of Law
• Negative Sentiment: A global bond selloff pushed yields higher and triggered declines across semiconductor stocks, creating valuation pressure for TSMC despite its strong operating outlook. Semiconductor Stocks Slide as Bond Yields Rise

About Taiwan Semiconductor Manufacturing

Taiwan Semiconductor Manufacturing Company (TSMC) is a leading pure-play semiconductor foundry that provides wafer fabrication and related services to the global semiconductor industry. Founded in 1987 by Morris Chang and headquartered in Hsinchu, Taiwan, TSMC manufactures integrated circuits on behalf of fabless and integrated device manufacturers, offering contract chip production across a broad set of technologies and products.

TSMC’s service offering covers logic and mixed-signal process technologies, specialty processes for radio-frequency, power management and embedded memory, and advanced nodes used in mobile, high-performance computing and AI applications.