Taiwan Semiconductor Manufacturing Company TSM manufactures, packages, tests and sells integrated circuits and other semiconductor devices in Taiwan, China, Europe, the Middle East, Africa, Japan, the United States and internationally.
It is set to report its Q1 2025 earnings on April 17. Wall Street analysts expect the company to post an EPS of $1.82, up from $1.38 in the year-ago period. According to Benzinga Pro, quarterly revenue is expected to reach $23.92 billion, up from $18.87 billion in the previous year.
Don't Miss:
- If there was a new fund backed by Jeff Bezos offering a 7-9% target yield with monthly dividends would you invest in it?
- ‘Scrolling To UBI' — Deloitte's #1 fastest-growing software company allows users to earn money on their phones. You can invest today for just $0.26/share with a $1000 minimum.
If You Bought TSMC Stock 10 Years Ago
The company's stock traded at approximately $22.60 per share 10 years ago. If you had invested $10,000, you could have bought roughly 442 shares. Currently, shares trade at $214.79, meaning your investment's value could have grown to $95,040 from stock price appreciation alone. However, TSMC also paid dividends during these 10 years.
TSMC's dividend yield is currently 1.29%. Over the last 10 years, it has paid about $15.92 in dividends per share, which means you could have made $7,044 from dividends alone.
Summing up $95,040 and $7,044, we end up with the final value of your investment, which is $102,084. This is how much you could have made if you had invested $10,000 in TSMC stock 10 years ago. This means a total return of 1,020.84%. In comparison, S&P 500 total return for the same period is 233.29%.
See Also: Unlock the hidden potential of commercial real estate — This platform allows individuals to invest in commercial real estate offering a 12% target yield with a bonus 1% return boost today!
What Could The Next 10 Years Bring?
TSMC has a consensus rating of "Buy" and a price target of $200.8 based on the ratings of six analysts. The price target implies more than 6% potential downside from the current stock price.
On Jan. 16, the company announced its Q4 2024 earnings, posting fourth-quarter revenue of $26.88 billion (NT$868.46 billion), up 38.8% year-over-year, topping the analyst consensus estimate of $26.28 billion, as reported by Benzinga.
Net income and earnings per share were NT$374.68 billion and NT$14.45 per share ($2.24), respectively, compared to the analyst consensus of $2.23.
Trending: This Jeff Bezos-backed startup will allow you to become a landlord in just 10 minutes, with minimum investments as low as $100 for properties like the Byer House from Stranger Things.
Taiwan Semiconductor is guided for first-quarter 2025 revenue of $25.0 billion –$25.8 billion versus the $24.97 billion consensus estimate. It expects a gross margin of 57% – 59% and operating profit margins of 46.5% – 48.5%.
The company earmarked fiscal 2025 capex worth $38 billion-$42 billion (versus $29.8 billion a year ago) amid intensifying geopolitical tensions between the U.S. and China. The former is eyeing tougher artificial intelligence technology restrictions on the latter, citing national security concerns.
Given the expected downside potential, growth-focused investors may not find TSMC stock attractive. Moreover, the stock won't likely appeal to income-focused investors with a dividend yield of just 1.29%.
Check out this article by Benzinga for three stocks offering high dividend yields for passive income.
Wondering if your investments can get you to a $5,000,000 nest egg? Speak to a financial advisor today. SmartAsset’s free tool matches you up with up to three vetted financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you.
Arrived Achieved A Total Return of 34.7% On Their Biggest Sale Yet — Diversify Your Monthly Income Stream With Fractional Real Estate
Arrived allows individuals to invest in shares of rental properties for as little as $100, providing the potential for monthly rental income and long-term appreciation without the hassles of being a landlord. With over $1 million in dividends paid out last quarter and a growing selection of properties across various markets, Arrived offers an attractive alternative for investors seeking to build a diversified real estate portfolio.
In October 2024, Arrived sold The Centennial, achieving a total return of 34.7% (11.2% average annual returns) for investors. Arrived aims to continue delivering similar value across our portfolio through careful market selection, attentive property management, and thoughtful timing in sales.
Looking for fractional real estate investment opportunities? The Benzinga Real Estate Screener features the latest offerings.
© 2025 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.