Analysis of Taiwan Semiconductor Manufacturing Company (TSM) Based on a One-Month Period
For traders aiming to understand the recent performance of Taiwan Semiconductor Manufacturing Company (TSM), the analysis is focused on data from the last 30 days. Below is a detailed examination using crucial market indicators and metrics.
Analyst Ratings and Price Targets
Key Insights
- Consensus Rating: The overall analyst rating for TSM is either "Strong Buy" or "Moderate Buy", indicating a positive market outlook.
- 12-Month Price Targets:
- Average target: $205.00, with variations showing a high of $250.00 and a low of $150.00.
- Other targets include $209.00 and $222.50, suggesting a potential upside of approximately 10-18% from current prices.
Recent Financial Performance
- October 2024 Revenue: Reported at NT$314.24 billion, showing a 24.8% increase from September 2024 and a 29.2% rise compared to October 2023.
- Year-to-Date Performance: For the first ten months of 2024, revenue increased by 31.5% year-over-year, reaching NT$2,340.09 billion.
Stock Performance
- Last 30 Days:
- 50% Green Days: The stock had green days for 15 out of 30 days.
- Volatility: Price volatility was noted at 4.53%.
- Moving Averages:
- 50-Day Simple Moving Average: Approximately $181.89.
- 200-Day Simple Moving Average: Ranges between $157.79 and $169.35.
Current Price and Forecast
- Current Price Range: $193.39 – $193.50.
- Short-Term Forecast: Predicts a potential price increase to $214.61 by December 7, 2024, representing an anticipated rise of 18.46%.
Dividend and Financial Metrics
- Dividend Update: TSMC announced an increased quarterly dividend of $0.4871 per share, payable on January 9, 2025, with an annual yield of 1.01%.
- Financial Highlights:
- Market Cap: Over $1 trillion.
- P/E Ratio: Approximately 26-31.
- Beta: Between 1.12 and 1.27, indicating moderate volatility compared to the market.
Market Sentiment
- Sentiment Indicator: The current sentiment is labeled as neutral, with the Fear & Greed Index showing fear at 39.
- Despite prevailing market fears, the positive analyst consensus and robust financial performance point towards a favorable outlook for TSM.
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This analysis encapsulates TSM's financial health, market sentiment, and analyst outlook, offering valuable insights for informed trading decisions.
Analyzing Taiwan Semiconductor Manufacturing Company (TSM)
The analysis of Taiwan Semiconductor Manufacturing Company (TSM) over the past year, using professional trader insights, suggests crucial financial metrics, analyst ratings, and technical indicators necessary for informed trading decisions. This analysis is based on the performance and projections for TSM, particularly focusing on a one-year period.
Analyst Ratings and Price Targets
- Consensus Rating
- TSM enjoys a strong consensus rating of "Strong Buy" or "Buy," reflecting positive sentiment from analysts.
- Price Targets
- The average 12-month price target ranges from $205.00 to $222.50.
- Based on data from five Wall Street analysts, the average target is around $205.00, indicating a 17.76% upside from the current price of $174.08.
- Another source suggests an average target of $222.50, a 10.46% increase from the latest price.
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Financial Performance
- 2023 Revenue and Earnings
- Reported revenue: 2.16 trillion TWD, marking a decrease of 4.51%.
- Earnings: 838.50 billion TWD, reflecting a 17.51% decline.
- 2024 Performance
- For the first ten months, the revenue surged by 31.5% year-over-year to reach NT$2,340.09 billion.
Recent Revenue Growth
- TSM’s October 2024 revenue reached approximately NT$314.24 billion, increasing by 24.8% from the previous month and 29.2% year-over-year.
Sales Forecasts
- The upcoming quarter's sales are forecasted to be $23.00 billion, up from the previous quarter's $20.82 billion.
Earnings and Sales Performance
- TSM has a robust record of beating EPS and sales estimates:
- EPS: Beat estimate 100% of the time.
- Sales: Beat estimate 75% of the time.
Dividend
- The company announced an increased quarterly dividend of $0.4871 per share, representing an annualized dividend of $1.95 with a yield of 1.01%.
Market and Technical Indicators
- Moving Averages
- 50-day simple moving average: $181.89
- 200-day simple moving average: $169.35
- 52-week Range
- $91.60 to $212.60
- Sentiment
- Despite a neutral current sentiment with the Fear & Greed Index indicating fear, technical indicators suggest potential undervaluation with a projected rise to $214.61 by December 2024.
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Operational Highlights
- TSMC continues to lead with innovations in wafer fabrication processes, bolstered by demand from smartphone and advanced AI hardware sectors.
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This analysis provides a comprehensive overview of TSMC's performance and market expectations, essential for making well-informed trading decisions. For further reading, explore Advanced Stock Trading Techniques to enhance your strategies.
Additional Resources
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This analysis highlights TSMC's robust market performance, key financial metrics, and the potential growth opportunities that traders can leverage based on the past year's data.
Disclaimer: This information material (regardless of whether it reflects opinions or not) is intended solely for general information purposes. It does not constitute independent financial analysis and is not financial or investment advice. It should not be relied upon as a decisive basis for an investment decision. This information material is never to be understood as GlazHome/CostGame recommending or deeming the acquisition or disposal of certain financial instruments, a particular timing for an investment decision, or a specific investment strategy suitable for any particular person. In particular, the information does not take into account the individual investment goals or financial circumstances of any individual investor. The information has not been prepared in accordance with the legal requirements designed to promote the independence of financial analysis and is therefore considered a marketing communication. Although GlazHome/CostGame is not expressly prevented from acting before providing the information, GlazHome/CostGame does not seek to gain an advantage by disseminating the information beforehand.
