Kingswood Wealth Advisors LLC has diminished its investment in Taiwan Semiconductor Manufacturing Company Ltd. (NYSE: TSM) by 22.8% during the third quarter of 2023. According to the fund’s latest 13F filing with the Securities and Exchange Commission (SEC), Kingswood now holds 12,461 shares of the semiconductor giant, following the sale of 3,689 shares. The total value of its holdings stands at approximately $3.48 million.
This adjustment in Kingswood’s stake mirrors a broader trend among institutional investors, many of whom have recently altered their positions in Taiwan Semiconductor. For example, Foster & Motley Inc. increased its stake by 16.0%, acquiring an additional 278 shares, bringing its total to 2,019 shares valued at $564,000. Similarly, Citizens National Bank Trust Department raised its position by 0.6%, now owning 16,477 shares worth $4.60 million after purchasing an extra 103 shares.
Another significant increase was seen with Benjamin Edwards Inc., which boosted its holdings by an impressive 51.1%. This firm now owns 49,512 shares valued at approximately $13.83 million, following the addition of 16,739 shares during the quarter. Other notable increases include Venturi Wealth Management LLC, which raised its stake by 2.6%, and Hosking Partners LLP, which expanded its position by 51.7%.
Market Performance and Dividend Announcement
As of the latest trading session, Taiwan Semiconductor’s stock opened at $318.70, reflecting a 2.7% decline. The stock has experienced notable fluctuations, with a 52-week low of $134.25 and a 52-week high of $333.08. The company boasts a market capitalization of $1.65 trillion, with a price-to-earnings (P/E) ratio of 32.69 and a beta value of 1.29. Additionally, its financial stability is highlighted by a debt-to-equity ratio of 0.19 and a quick ratio of 2.47.
In a move that may please shareholders, Taiwan Semiconductor recently announced an increase in its quarterly dividend. Scheduled for payment on April 9, 2024, the dividend will be $0.9678 per share, up from the previous $0.83. This change translates to an annualized dividend of $3.87, offering a yield of 1.2%. The ex-dividend date is set for March 17, 2024, and the company’s payout ratio now stands at 25.74%.
Analyst Ratings and Future Outlook
Wall Street analysts have expressed a generally positive outlook for Taiwan Semiconductor. In a report dated January 2, 2024, Sanford C. Bernstein reaffirmed its “outperform” rating for the company. Several firms have adjusted their target prices, with Barclays raising its target from $330.00 to $355.00 and maintaining an “overweight” rating. UBS Group has set a target price of $330.00, while Needham & Company LLC reiterated a “buy” rating with a target of $360.00.
Current data from MarketBeat.com indicates that eight analysts have rated the stock with a “buy” designation, resulting in an average price target of $355.00.
Taiwan Semiconductor Manufacturing Company, founded in 1987 by Morris Chang, is a leading player in the semiconductor industry, providing wafer fabrication services globally. Headquartered in Hsinchu, Taiwan, the company specializes in manufacturing integrated circuits for both fabless and integrated device manufacturers, encompassing various technologies and products essential for numerous applications, including mobile devices and artificial intelligence.
Investors and analysts alike will be closely monitoring upcoming developments as Taiwan Semiconductor continues to navigate a dynamic market landscape.
