TAIPEI (TVBS News) — Shares of semiconductor giant Taiwan Semiconductor Manufacturing Company (TSMC, 台積電), Taiwan's most valuable company, opened significantly lower at NT$797 (approximately US$24.15) on Tuesday morning (April 8), dropping NT$51 (approximately US$1.55) and breaching the psychologically important NT$800 threshold. The downward pressure proved short-lived, however, as opportunistic investors swiftly moved to acquire shares at the reduced price point, triggering a remarkable rebound in the stock's value. Within hours of the market opening, TSMC shares had surged to NT$843 (US$25.55), nearly recovering to the previous day's closing price of NT$848 (US$25.70).
The previous trading day had witnessed TSMC's American Depositary Receipt (ADR) — the company's U.S.-listed shares traded on American exchanges — experience significant volatility, initially climbing 4.7% in tandem with broader U.S. market gains before ultimately settling 0.4% lower at US$146.17 (approximately NT$4,824). This closing price reflected a substantial premium of over 14% compared to TSMC's shares trading on the Taiwan Stock Exchange, highlighting the divergent valuations across markets. Despite the mixed signals from international markets, foreign institutional investors displayed continued confidence in the chipmaker, purchasing 1,622 TSMC shares on Monday and extending their net buying streak to three consecutive trading sessions.
The foreign investors' optimism, however, had not been sufficient to prevent TSMC shares from hitting their limit-down price — the maximum allowed single-day decline — during Monday's session, with the stock closing near its daily low. Market data revealed nearly 120,000 shares remained in the selling queue but went unexecuted at the close of trading. Tuesday's opening price below the NT$800 (US$24.24) mark signaled persistent downward pressure on the semiconductor manufacturer's valuation. The current share price represents a dramatic decline from TSMC's intraday peak of NT$1,160 (US$35.15) reached earlier this year, amounting to a precipitous drop of NT$363 (US$11.00) or 31.29%. This sustained downturn has evaporated an astonishing NT$9.4135 trillion (US$285.26 billion) from the company's market capitalization, reducing it to NT$20.6683 trillion (US$626.31 billion).
The dramatic fluctuations in TSMC's share price highlight the exceptional volatility currently characterizing the global semiconductor industry, a sector particularly sensitive to macroeconomic shifts and geopolitical tensions. The company's stock performance serves as a bellwether for broader economic uncertainties affecting technology markets worldwide. As TSMC — the world's leading contract chipmaker and a critical supplier to technology giants like Apple and Nvidia — continues to navigate these turbulent market conditions, both institutional and retail investors, alongside industry analysts, remain intensely focused on the company's strategic initiatives to restore market confidence, stabilize its valuation, and return to a growth trajectory.