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TSMC (TSM) Beats Stock Market Upswing: What Investors Need to Know
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TSMC (TSM - Free Report) closed at $412.32 in the latest trading session, marking a +1.93% move from the prior day. The stock's change was more than the S&P 500's daily gain of 0.61%. Elsewhere, the Dow lost 0.23%, while the tech-heavy Nasdaq added 1.19%.
The chip company's stock has dropped by 0.11% in the past month, falling short of the Computer and Technology sector's gain of 8.23% and the S&P 500's gain of 4.44%.
The upcoming earnings release of TSMC will be of great interest to investors. The company is expected to report EPS of $3.69, up 49.39% from the prior-year quarter. Alongside, our most recent consensus estimate is anticipating revenue of $39.76 billion, indicating a 32.23% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $15.28 per share and a revenue of $161.84 billion, demonstrating changes of +43.47% and +32.19%, respectively, from the preceding year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for TSMC. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 1.19% upward. Right now, TSMC possesses a Zacks Rank of #3 (Hold).
In the context of valuation, TSMC is at present trading with a Forward P/E ratio of 26.48. This signifies no noticeable deviation in comparison to the average Forward P/E of 26.48 for its industry.
It is also worth noting that TSM currently has a PEG ratio of 1.18. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Semiconductor - Circuit Foundry stocks are, on average, holding a PEG ratio of 1.18 based on yesterday's closing prices.
The Semiconductor - Circuit Foundry industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 106, finds itself in the top 44% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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TSMC (TSM) Beats Stock Market Upswing: What Investors Need to Know
TSMC (TSM - Free Report) closed at $412.32 in the latest trading session, marking a +1.93% move from the prior day. The stock's change was more than the S&P 500's daily gain of 0.61%. Elsewhere, the Dow lost 0.23%, while the tech-heavy Nasdaq added 1.19%.
The chip company's stock has dropped by 0.11% in the past month, falling short of the Computer and Technology sector's gain of 8.23% and the S&P 500's gain of 4.44%.
The upcoming earnings release of TSMC will be of great interest to investors. The company is expected to report EPS of $3.69, up 49.39% from the prior-year quarter. Alongside, our most recent consensus estimate is anticipating revenue of $39.76 billion, indicating a 32.23% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $15.28 per share and a revenue of $161.84 billion, demonstrating changes of +43.47% and +32.19%, respectively, from the preceding year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for TSMC. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 1.19% upward. Right now, TSMC possesses a Zacks Rank of #3 (Hold).
In the context of valuation, TSMC is at present trading with a Forward P/E ratio of 26.48. This signifies no noticeable deviation in comparison to the average Forward P/E of 26.48 for its industry.
It is also worth noting that TSM currently has a PEG ratio of 1.18. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Semiconductor - Circuit Foundry stocks are, on average, holding a PEG ratio of 1.18 based on yesterday's closing prices.
The Semiconductor - Circuit Foundry industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 106, finds itself in the top 44% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.