TSM Stock Shed 14%; RSI Negativity Suggests Further Decline?

TSM stock has shown profitability steadily. Its price surged over 24% in the past 52 weeks. At the time of publishing, Taiwan Semiconductors Mfg. Co. Ltd. stock was trading at $86.41 after a 1.14% intraday spike.

Taiwan Semiconductor Mfg. Co. Ltd (TSM) Stock Price Analysis  

In the 52-week time frame, TSM stock peaked at $110.69, while its lowest traded price was $59.43. Taiwan Semiconductor Mfg. Co. Ltd has a market capitalization of $419.524 Billion.

Despite intraday and yearly surges, there was a decline of 7.85% in a month and a 14.78% decline over the past three months. The annual price target of TSM stock is $113.56, while the price target is 31.24% greater than its press time trading price. 

When writing, Taiwan Semiconductor Manufacturing Company Limited stock was trading below 20,50,100 and 200-day exponential moving averages (EMA). 

The MACD line and signal are moving parallel to each other in the negative territory, and the histogram reflects bear accumulation below the zero line. The RSI line and RSI-based MA line are below zero, but in the last trading session, buyers were more active than sellers. 

Source: Taiwan Semiconductor Mfg.Co.Ltd (TSM) stock price chart from TradingView 

However, market analysts believe that further decline in the trading price is expected as the bears are dominating.

After analyzing the candlestick patterns, a significant TSM stock trading price cap was seen on September 7, 2023. The increased bear dominance directed the stock towards its support.

Taiwan Semiconductor Mfg. Co. Ltd (TSM) Financial Updates

Taiwan Semiconductor Mfg. Co. Ltd (TSM) met the analysts’ estimation as it reported $15.47 Billion in revenue in Q2 2023. 

The reported revenue of the company was 5.14% more than the estimated figure. In 2022, the company reported $74.35 Billion in revenue. Net income in the past year was $34.10 Billion, and profit margin was 44.90%.    

TradingView data shows that 5.186 Billion shares are free-floating, and the remaining 788.336k shares are closely held. 

For the third quarter of 2023, the company is supposed to report $17.08 Billion in revenue, and EPS is positive $1.17. Taiwan Semiconductor Manufacturing Co., Ltd. manufactures and sells integrated circuits and wafer semiconductor devices.

Technical Levels 

Support Level: $89.64 & $93.00

Resistance Level: $84.02 & $80.95

Conclusion

TSM stock showed an impressive surge in yearly and Year-to-date time frames, but over the past six months, bears have been pulling the price down. The MACD line and signal line are both in the negative region, and it is observed that bears are trying to capture all the vacant positions. However, market observers believe no short-term reversal or positive sentiment in TSM stock is expected. 

Disclaimer

The views and opinions stated by the author or any people named in this article are for informational ideas only and do not establish financial, investment, or other advice. Investing in or trading crypto or stock comes with a risk of financial loss. 

Latest posts by Adarsh Singh (see all)

Source

Similar Posts

Leave a Reply

Your email address will not be published. Required fields are marked *