Financial giants have made a conspicuous bearish move on Taiwan Semiconductor. Our analysis of options history for Taiwan Semiconductor TSM revealed 20 unusual trades.
Delving into the details, we found 45% of traders were bullish, while 55% showed bearish tendencies. Out of all the trades we spotted, 3 were puts, with a value of $114,455, and 17 were calls, valued at $1,996,591.
Expected Price Movements
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $70.0 to $170.0 for Taiwan Semiconductor over the last 3 months.
Volume & Open Interest Trends
In today’s trading context, the average open interest for options of Taiwan Semiconductor stands at 3421.85, with a total volume reaching 12,363.00. The accompanying chart delineates the progression of both call and put option volume and open interest for high-value trades in Taiwan Semiconductor, situated within the strike price corridor from $70.0 to $170.0, throughout the last 30 days.
Taiwan Semiconductor Call and Put Volume: 30-Day Overview
Largest Options Trades Observed:
Symbol
PUT/CALL
Trade Type
Sentiment
Exp. Date
Strike Price
Total Trade Price
Open Interest
Volume
TSM
CALL
TRADE
BULLISH
08/16/24
$80.00
$505.6K
0
200
TSM
CALL
TRADE
BULLISH
08/16/24
$80.00
$497.0K
0
100
TSM
CALL
SWEEP
BULLISH
04/19/24
$125.00
$140.0K
14.7K
2.0K
TSM
CALL
SWEEP
BULLISH
04/19/24
$125.00
$133.0K
14.7K
658
TSM
CALL
SWEEP
BULLISH
04/19/24
$125.00
$120.9K
14.7K
288
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.
Following our analysis of the options activities associated with Taiwan Semiconductor, we pivot to a closer look at the company’s own performance.
Where Is Taiwan Semiconductor Standing Right Now?
With a trading volume of 2,192,958, the price of TSM is down by -1.5%, reaching $127.1.
Current RSI values indicate that the stock is may be approaching overbought.
Next earnings report is scheduled for 62 days from now.
What The Experts Say On Taiwan Semiconductor
Over the past month, 2 industry analysts have shared their insights on this stock, proposing an average target price of $142.5.
Consistent in their evaluation, an analyst from Susquehanna keeps a Positive rating on Taiwan Semiconductor with a target price of $160.
An analyst from Barclays persists with their Overweight rating on Taiwan Semiconductor, maintaining a target price of $125.
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.
