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Taiwan Semiconductor's Options Frenzy: What You Need to Know
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Taiwan Semiconductor's Options Frenzy: What You Need to Know
Oct 7, 2024 8:37 AM

Whales with a lot of money to spend have taken a noticeably bearish stance on Taiwan Semiconductor.

Looking at options history for Taiwan Semiconductor we detected 42 trades.

If we consider the specifics of each trade, it is accurate to state that 45% of the investors opened trades with bullish expectations and 47% with bearish.

From the overall spotted trades, 10 are puts, for a total amount of $463,417 and 32, calls, for a total amount of $2,319,362.

Expected Price Movements

Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $80.0 to $200.0 for Taiwan Semiconductor during the past quarter.

Insights into Volume & Open Interest

Examining the volume and open interest provides crucial insights into stock research. This information is key in gauging liquidity and interest levels for Taiwan Semiconductor's options at certain strike prices. Below, we present a snapshot of the trends in volume and open interest for calls and puts across Taiwan Semiconductor's significant trades, within a strike price range of $80.0 to $200.0, over the past month.

Taiwan Semiconductor Call and Put Volume: 30-Day Overview

Biggest Options Spotted:

Symbol PUT/CALL Trade Type Sentiment Exp. Date Ask Bid Price Strike Price Total Trade Price Open Interest Volume
TSM CALL SWEEP BEARISH 10/11/24 $2.93 $2.87 $2.87 $185.00 $574.2K 2.9K 234
TSM CALL TRADE BULLISH 12/20/24 $35.3 $35.2 $35.3 $150.00 $141.2K 1.7K 43
TSM CALL TRADE BEARISH 12/20/24 $43.0 $41.55 $42.1 $145.00 $126.3K 1.0K 60
TSM PUT TRADE BULLISH 10/11/24 $2.48 $2.42 $2.42 $180.00 $121.0K 1.1K 501
TSM CALL TRADE BULLISH 11/01/24 $24.6 $24.5 $24.6 $160.00 $120.5K 172 50

About Taiwan Semiconductor

Taiwan Semiconductor Manufacturing Co. ( TSM ) 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.

Where Is Taiwan Semiconductor Standing Right Now?

Trading volume stands at 4,158,170, with TSM's price up by 0.86%, positioned at $182.72.

RSI indicators show the stock to be may be approaching overbought.

Earnings announcement expected in 14 days.

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20-year pro options trader reveals his one-line chart technique that shows when to buy and sell. Copy his trades, which have had averaged a 27% profit every 20 days. Click here for access.

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.

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