Decoding Taiwan Semiconductor's Options Activity: What's the Big Picture?

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 49 trades.

If we consider the specifics of each trade, it is accurate to state that 46% of the investors opened trades with bullish expectations and 53% with bearish.

From the overall spotted trades, 15 are puts, for a total amount of $1,757,755 and 34, calls, for a total amount of $4,629,148.

Predicted Price Range

After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $100.0 and $160.0 for Taiwan Semiconductor, spanning the last three months.

Insights into Volume & Open Interest

Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for Taiwan Semiconductor's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Taiwan Semiconductor's significant trades, within a strike price range of $100.0 to $160.0, over the past month.

Taiwan Semiconductor 30-Day Option Volume & Interest Snapshot

Biggest Options Spotted:

About Taiwan Semiconductor

Taiwan Semiconductor Manufacturing Co. is the world's largest dedicated chip foundry, with almost 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 U.S. 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.

Where Is Taiwan Semiconductor Standing Right Now?

• Currently trading with a volume of 8,217,474, the TSM's price is up by 3.89%, now at $144.43.
• RSI readings suggest the stock is currently may be approaching overbought.
• Anticipated earnings release is in 37 days.

Professional Analyst Ratings for Taiwan Semiconductor

Over the past month, 2 industry analysts have shared their insights on this stock, proposing an average target price of $155.0.

• Consistent in their evaluation, an analyst from Susquehanna keeps a Positive rating on Taiwan Semiconductor with a target price of $160.
• Consistent in their evaluation, an analyst from Bernstein keeps a Outperform rating on Taiwan Semiconductor with a target price of $150.

Trading options involves greater risks but also offers the potential for higher profits. Savvy traders mitigate these risks through ongoing education, strategic trade adjustments, utilizing various indicators, and staying attuned to market dynamics. Keep up with the latest options trades for Taiwan Semiconductor with Benzinga Pro for real-time alerts.