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TSMC (TSM) Exceeds Market Returns: Some Facts to Consider
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In the latest trading session, TSMC (TSM - Free Report) closed at $357.44, marking a +1.22% move from the previous day. The stock's performance was ahead of the S&P 500's daily gain of 0.78%. Elsewhere, the Dow saw an upswing of 0.49%, while the tech-heavy Nasdaq appreciated by 1.29%.
Heading into today, shares of the chip company had gained 5.18% over the past month, outpacing the Computer and Technology sector's loss of 3.59% and the S&P 500's loss of 1.33%.
Market participants will be closely following the financial results of TSMC in its upcoming release. The company's upcoming EPS is projected at $3.26, signifying a 53.77% increase compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $35.29 billion, up 38.27% from the prior-year quarter.
For the full year, the Zacks Consensus Estimates project earnings of $14.14 per share and a revenue of $158.17 billion, demonstrating changes of +32.77% and +29.2%, respectively, from the preceding year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for TSMC. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.21% upward. TSMC is currently sporting a Zacks Rank of #1 (Strong Buy).
Investors should also note TSMC's current valuation metrics, including its Forward P/E ratio of 24.98. This denotes no noticeable deviation relative to the industry average Forward P/E of 24.98.
We can also see that TSM currently has a PEG ratio of 0.99. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The average PEG ratio for the Semiconductor - Circuit Foundry industry stood at 0.99 at the close of the market yesterday.
The Semiconductor - Circuit Foundry industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 1, placing it within the top 1% of over 250 industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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TSMC (TSM) Exceeds Market Returns: Some Facts to Consider
In the latest trading session, TSMC (TSM - Free Report) closed at $357.44, marking a +1.22% move from the previous day. The stock's performance was ahead of the S&P 500's daily gain of 0.78%. Elsewhere, the Dow saw an upswing of 0.49%, while the tech-heavy Nasdaq appreciated by 1.29%.
Heading into today, shares of the chip company had gained 5.18% over the past month, outpacing the Computer and Technology sector's loss of 3.59% and the S&P 500's loss of 1.33%.
Market participants will be closely following the financial results of TSMC in its upcoming release. The company's upcoming EPS is projected at $3.26, signifying a 53.77% increase compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $35.29 billion, up 38.27% from the prior-year quarter.
For the full year, the Zacks Consensus Estimates project earnings of $14.14 per share and a revenue of $158.17 billion, demonstrating changes of +32.77% and +29.2%, respectively, from the preceding year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for TSMC. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.21% upward. TSMC is currently sporting a Zacks Rank of #1 (Strong Buy).
Investors should also note TSMC's current valuation metrics, including its Forward P/E ratio of 24.98. This denotes no noticeable deviation relative to the industry average Forward P/E of 24.98.
We can also see that TSM currently has a PEG ratio of 0.99. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The average PEG ratio for the Semiconductor - Circuit Foundry industry stood at 0.99 at the close of the market yesterday.
The Semiconductor - Circuit Foundry industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 1, placing it within the top 1% of over 250 industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.