Unpacking the Latest Options Trading Trends in Taiwan Semiconductor

Whales with a lot of money to spend have taken a noticeably bearish stance on Taiwan Semiconductor.

Looking at options history for Taiwan Semiconductor TSM we detected 59 trades.

If we consider the specifics of each trade, it is accurate to state that 42% of the investors opened trades with bullish expectations and 44% with bearish.

From the overall spotted trades, 11 are puts, for a total amount of $690,119 and 48, calls, for a total amount of $2,866,123.

Expected Price Movements

Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $130.0 to $310.0 for Taiwan Semiconductor over the recent three months.

Volume & Open Interest Development

Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.

This data can help you track the liquidity and interest for Taiwan Semiconductor's options for a given strike price.

Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of Taiwan Semiconductor's whale activity within a strike price range from $130.0 to $310.0 in the last 30 days.

Taiwan Semiconductor 30-Day Option Volume & Interest Snapshot

Largest Options Trades Observed:

About Taiwan Semiconductor

Taiwan Semiconductor Manufacturing Co. is the world's largest dedicated chip foundry, with over 60% market share. TSMC was founded in 1987 as a joint venture of Philips, the government of Taiwan, and private investors. It went public as an ADR in the US in 1997. TSMC's scale and high-quality technology allow the firm to generate solid operating margins, even in the highly competitive foundry business. Furthermore, the shift to the fabless business model has created tailwinds for TSMC. The foundry leader has an illustrious customer base, including Apple, AMD, and Nvidia, that looks to apply cutting-edge process technologies to its semiconductor designs. TSMC employs more than 73,000 people.

After a thorough review of the options trading surrounding Taiwan Semiconductor, we move to examine the company in more detail. This includes an assessment of its current market status and performance.

Taiwan Semiconductor's Current Market Status

• With a trading volume of 10,431,093, the price of TSM is up by 0.98%, reaching $200.43.
• Current RSI values indicate that the stock is may be approaching overbought.
• Next earnings report is scheduled for 85 days from now.

What Analysts Are Saying About Taiwan Semiconductor

3 market experts have recently issued ratings for this stock, with a consensus target price of $216.66666666666666.

Unusual Options Activity Detected: Smart Money on the Move

Benzinga Edge's Unusual Options board spots potential market movers before they happen. See what positions big money is taking on your favorite stocks. Click here for access. * An analyst from Needham has decided to maintain their Buy rating on Taiwan Semiconductor, which currently sits at a price target of $225. * An analyst from Needham downgraded its action to Buy with a price target of $210. * Consistent in their evaluation, an analyst from Barclays keeps a Overweight rating on Taiwan Semiconductor with a target price of $215.

Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest Taiwan Semiconductor options trades with real-time alerts from Benzinga Pro.