Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) Raises Dividend to $0.55 Per Share

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) declared a quarterly dividend on Wednesday, November 13th,Wall Street Journal reports. Stockholders of record on Tuesday, March 18th will be paid a dividend of 0.5484 per share by the semiconductor company on Thursday, April 10th. This represents a $2.19 dividend on an annualized basis and a dividend yield of 1.18%. The ex-dividend date of this dividend is Tuesday, March 18th. This is a boost from Taiwan Semiconductor Manufacturing’s previous quarterly dividend of $0.49.

Taiwan Semiconductor Manufacturing has raised its dividend payment by an average of 2.1% annually over the last three years. Taiwan Semiconductor Manufacturing has a payout ratio of 27.3% meaning its dividend is sufficiently covered by earnings. Analysts expect Taiwan Semiconductor Manufacturing to earn $8.63 per share next year, which means the company should continue to be able to cover its $2.47 annual dividend with an expected future payout ratio of 28.6%.

Taiwan Semiconductor Manufacturing Stock Performance

Shares of TSM stock traded down $5.11 during trading hours on Wednesday, reaching $186.66. 13,739,782 shares of the company’s stock were exchanged, compared to its average volume of 15,473,856. Taiwan Semiconductor Manufacturing has a fifty-two week low of $95.25 and a fifty-two week high of $212.60. The stock has a market capitalization of $968.10 billion, a P/E ratio of 29.96, a P/E/G ratio of 0.91 and a beta of 1.12. The business has a fifty day moving average price of $184.19 and a 200-day moving average price of $171.37. The company has a quick ratio of 2.30, a current ratio of 2.57 and a debt-to-equity ratio of 0.23.

Taiwan Semiconductor Manufacturing (NYSE:TSM) last issued its quarterly earnings results on Thursday, October 17th. The semiconductor company reported $1.94 EPS for the quarter, topping analysts’ consensus estimates of $1.74 by $0.20. Taiwan Semiconductor Manufacturing had a return on equity of 27.30% and a net margin of 39.10%. The company had revenue of $23.50 billion during the quarter, compared to analyst estimates of $22.72 billion. Analysts predict that Taiwan Semiconductor Manufacturing will post 6.73 EPS for the current fiscal year.

Analysts Set New Price Targets

A number of research analysts recently commented on TSM shares. Needham & Company LLC restated a “buy” rating and issued a $210.00 target price on shares of Taiwan Semiconductor Manufacturing in a research note on Thursday, October 17th. StockNews.com upgraded Taiwan Semiconductor Manufacturing from a “hold” rating to a “buy” rating in a research report on Saturday. TD Cowen upped their price target on Taiwan Semiconductor Manufacturing from $130.00 to $170.00 and gave the company a “hold” rating in a research report on Thursday, July 18th. Susquehanna reiterated a “buy” rating on shares of Taiwan Semiconductor Manufacturing in a research report on Friday, October 18th. Finally, Barclays upped their price target on Taiwan Semiconductor Manufacturing from $200.00 to $215.00 and gave the company an “overweight” rating in a research report on Wednesday, October 23rd. One equities research analyst has rated the stock with a hold rating and five have issued a buy rating to the company. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $209.00.

About Taiwan Semiconductor Manufacturing

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.