Taiwan Semiconductor's Options: A Look at What the Big Money is Thinking

Financial giants have made a conspicuous bearish move on Taiwan Semiconductor. Our analysis of options history for Taiwan Semiconductor TSM revealed 47 unusual trades.

Delving into the details, we found 34% of traders were bullish, while 65% showed bearish tendencies. Out of all the trades we spotted, 6 were puts, with a value of $1,015,550, and 41 were calls, valued at $3,251,302.

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 $100.0 to $220.0 for Taiwan Semiconductor over the last 3 months.

Volume & Open Interest Development

Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.

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 activity within a strike price range from $100.0 to $220.0 in the last 30 days.

Taiwan Semiconductor Option Volume And Open Interest Over Last 30 Days

Significant Options Trades Detected:

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.

In light of the recent options history for Taiwan Semiconductor, it's now appropriate to focus on the company itself. We aim to explore its current performance.

Current Position of Taiwan Semiconductor

• With a trading volume of 11,085,626, the price of TSM is up by 2.47%, reaching $146.31.
• Current RSI values indicate that the stock is may be approaching overbought.
• Next earnings report is scheduled for 9 days from now.

Expert Opinions on Taiwan Semiconductor

3 market experts have recently issued ratings for this stock, with a consensus target price of $158.33333333333334.

• An analyst from Bernstein has decided to maintain their Outperform rating on Taiwan Semiconductor, which currently sits at a price target of $150.
• Consistent in their evaluation, an analyst from Susquehanna keeps a Positive rating on Taiwan Semiconductor with a target price of $180.
• An analyst from Barclays persists with their Overweight rating on Taiwan Semiconductor, maintaining a target price of $145.

Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely.

If you want to stay updated on the latest options trades for Taiwan Semiconductor, Benzinga Pro gives you real-time options trades alerts.