In the latest trading session, TSMC (TSM) closed at $57.39, marking a -1.15% move from the previous day. This change lagged the S&P 500's daily gain of 0.35%. At the same time, the Dow added 0.24%, and the tech-heavy Nasdaq gained 0.56%.
Prior to today's trading, shares of the chip company had gained 6.73% over the past month. This has outpaced the Computer and Technology sector's gain of 6.72% and the S&P 500's gain of 4.69% in that time.
TSM will be looking to display strength as it nears its next earnings release, which is expected to be January 16, 2020.
Investors might also notice recent changes to analyst estimates for TSM. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. TSM is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note TSM's current valuation metrics, including its Forward P/E ratio of 22.25. This represents a no noticeable deviation compared to its industry's average Forward P/E of 22.25.
Meanwhile, TSM's PEG ratio is currently 2.14. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. TSM's industry had an average PEG ratio of 2.14 as of yesterday's close.
The Semiconductor - Circuit Foundry industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 96, which puts it in the top 38% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Taiwan Semiconductor Manufacturing Company Ltd. (TSM): Free Stock Analysis Report
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