TSMC (TSM - Free Report) closed at $43.88 in the latest trading session, marking a -1.1% move from the prior day. This move lagged the S&P 500's daily gain of 0.47%. Meanwhile, the Dow gained 0.95%, and the Nasdaq, a tech-heavy index, added 2.3%.
Heading into today, shares of the chip company had lost 23.02% over the past month, outpacing the Computer and Technology sector's loss of 28.18% and the S&P 500's loss of 28.7% in that time.
TSM will be looking to display strength as it nears its next earnings release. In that report, analysts expect TSM to post earnings of $0.67 per share. This would mark year-over-year growth of 76.32%.
Any recent changes to analyst estimates for TSM should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 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. The Zacks Consensus EPS estimate has moved 2.9% lower within the past month. TSM currently has a Zacks Rank of #4 (Sell).
Investors should also note TSM's current valuation metrics, including its Forward P/E ratio of 16.56. For comparison, its industry has an average Forward P/E of 16.56, which means TSM is trading at a no noticeable deviation to the group.
Investors should also note that TSM has a PEG ratio of 1.39 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Semiconductor - Circuit Foundry stocks are, on average, holding a PEG ratio of 1.39 based on yesterday's closing prices.
The Semiconductor - Circuit Foundry industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 244, which puts it in the bottom 5% 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.