tsmc stock falters amid policy headwinds
taipei, Tuesday, 24 June 2025.
Taiwan Semiconductor Manufacturing Company (TSMC) saw its stock price decrease today. This was influenced by market anxieties and potential us policy shifts. Rumors suggest the u.s. might revoke waivers allowing tsmc to use u.s. tech in china. This has heightened investor concerns. The stock is currently trading at $210.32, a slight decrease of 0.39%. Investors are now closely monitoring tsmc’s next moves as geopolitical tensions and market dynamics continue to evolve.
current stock performance
TSMC’s (TSM) stock is currently valued at $210.32 [1]. This represents a slight increase of 0.39% from the previous close [1]. The stock’s intraday range has fluctuated between $206.20 and $210.59 [1]. Trading volume stands at 7.5 million shares, a 45% increase compared to the average [1]. The company’s market capitalization is approximately $1.091 trillion [1]. The price-to-earnings ratio (PE Ratio) is 27, with a dividend yield of 1.1% [1].
potential policy changes
The U.S. government is considering revoking waivers that allow TSMC, along with Samsung and SK Hynix, to use American technology in their China-based operations [7]. Jeffrey Kessler, U.S. Commerce Department’s Bureau of Industry and Security Deputy Secretary, reportedly informed the companies of this plan [7]. This move is viewed as an effort to prevent the transfer of critical technology to China [7]. However, this proposal faces resistance from other U.S. government entities, including the Department of Defense [7].
historical context of waivers
In October 2022, the U.S. implemented export controls restricting China’s access to advanced chip manufacturing equipment [7]. Initially, TSMC, Samsung, and SK Hynix received one-year waivers, allowing them to continue importing U.S. chip-making equipment into their Chinese factories without needing individual licenses [7]. In October 2023, these waivers were extended indefinitely to ensure the smooth operation of their China-based facilities [7]. The potential revocation of these waivers introduces uncertainty for TSMC’s manufacturing capacity and global strategy [alert! ‘impact on manufacturing capacity needs further clarification from TSMC official statements’].
market factors and analysis
Broader market sentiment and geopolitical tensions significantly influence TSMC’s stock performance [GPT]. The potential U.S. policy change adds to existing concerns about trade relations and technological competition [7]. Investors are weighing the impact of these factors on TSMC’s manufacturing capabilities and its ability to maintain market leadership [GPT]. TSMC’s earnings per share (EPS) is projected to increase by 38% this year [1]. The company’s annual return on equity (ROE) stands at 30.1%, and its annual pre-tax margin is 48.6% [1].
ubs raises target price
UBS has recently raised its target price for TSMC to 1200 new Taiwan dollars [5]. This reflects confidence in the company’s growth potential, driven by demand for AI technologies and capacity expansion [5]. The analysts at UBS anticipate that 3 nm and 2 nm technologies will account for one-third of smartphone system-on-chip (SoC) shipments in 2026 [5]. TSMC’s ability to capitalize on these advancements will be crucial for its future performance and stock valuation [GPT].