Deep-pocketed investors have adopted a bearish approach towards Taiwan Semiconductor (NYSE:TSM), and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in TSM usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 32 extraordinary options activities for Taiwan Semiconductor. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 43% leaning bullish and 46% bearish. Among these notable options, 8 are puts, totaling $542,951, and 24 are calls, amounting to $1,480,513.
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 $260.0 for Taiwan Semiconductor, spanning the last three months.
Volume & Open Interest Trends
Looking at the volume and open interest is a powerful move while trading options. 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 trades within a strike price range from $100.0 to $260.0 in the last 30 days.
Taiwan Semiconductor Option Volume And Open Interest Over Last 30 Days
Noteworthy Options Activity:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| TSM | CALL | SWEEP | BEARISH | 01/16/26 | $53.05 | $50.95 | $52.5 | $130.00 | $315.0K | 1.1K | 62 |
| TSM | PUT | SWEEP | BULLISH | 07/26/24 | $6.45 | $5.8 | $5.8 | $170.00 | $232.2K | 4.4K | 490 |
| TSM | CALL | TRADE | BEARISH | 06/20/25 | $5.45 | $3.7 | $4.4 | $260.00 | $220.0K | 3.7K | 509 |
| TSM | PUT | SWEEP | BEARISH | 08/02/24 | $4.4 | $4.3 | $4.4 | $165.00 | $90.9K | 3.3K | 295 |
| TSM | CALL | TRADE | BULLISH | 01/17/25 | $17.15 | $17.1 | $17.15 | $170.00 | $85.7K | 2.2K | 99 |
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 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.
Present Market Standing of Taiwan Semiconductor
- With a trading volume of 5,649,467, the price of TSM is down by -3.39%, reaching $164.06.
- Current RSI values indicate that the stock is is currently neutral between overbought and oversold.
- Next earnings report is scheduled for 85 days from now.
Expert Opinions on Taiwan Semiconductor
Over the past month, 3 industry analysts have shared their insights on this stock, proposing an average target price of $223.33333333333334.
- Maintaining their stance, an analyst from Needham continues to hold a Buy rating for Taiwan Semiconductor, targeting a price of $210.
- An analyst from Susquehanna persists with their Positive rating on Taiwan Semiconductor, maintaining a target price of $250.
- Reflecting concerns, an analyst from Needham lowers its rating to Buy with a new price target of $210.
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.