TSM (Taiwan Semiconductor Manufacturing Co) 3-Year Dividend Growth Rate: 20.00% (As of Jun. 2026) — 59% Above Median

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TSM Taiwan Semiconductor Manufacturing Co Ltd TSM
98 GF Score
Price $445.14
GF Value $363.40
Valuation Modestly Overvalued
! 5 Warning Signs
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What is Taiwan Semiconductor Manufacturing Co 3-Year Dividend Growth Rate?

Taiwan Semiconductor Manufacturing Co TSM +2.41% 98 3-Year Dividend Growth Rate is 20.00% as of Jun. 2026, which is 59% above its 10-year median of 12.60. GuruFocus rates TSM with a GF Score™ of 98/100 and a GF Value™ of $363.40 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 372 Semiconductors companies, Taiwan Semiconductor Manufacturing Co ranks better than 78.23% on this metric.

Taiwan Semiconductor Manufacturing Co's Dividends per Share for the three months ended in Jun. 2026 was $0.86.

The historical rank and industry rank for Taiwan Semiconductor Manufacturing Co's 3-Year Dividend Growth Rate or its related term are showing as below:

TSM' s 3-Year Dividend Growth Rate Range Over the Past 10 Years
Min: -4.2   Med: 12.6   Max: 83
Current: 20

During the past 13 years, the highest 3-Year average Dividends Per Share Growth Rate of Taiwan Semiconductor Manufacturing Co was 83.00% per year. The lowest was -4.20% per year. And the median was 12.60% per year.

TSM's 3-Year Dividend Growth Rate is ranked better than
78.23% of 372 companies
in the Semiconductors industry
Industry Median: -0.7 vs TSM: 20.00

During the past 12 months, Taiwan Semiconductor Manufacturing Co's average Dividends Per Share Growth Rate was 29.40% per year. During the past 3 years, the average Dividends Per Share Growth Rate was 20.00% per year. During the past 5 years, the average Dividends Per Share Growth Rate was 13.20% per year. During the past 10 years, the average Dividends Per Share Growth Rate was 12.40% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the average dividends per share growth rate.

Taiwan Semiconductor Manufacturing Co's Dividend Payout Ratio for the three months ended in Jun. 2026 was 0.20. As of today, Taiwan Semiconductor Manufacturing Co's Dividend Yield % is 0.87%.

Warning Sign:

Taiwan Semiconductor Manufacturing Co Ltd stock Dividend Yield % is close to 10-year low.

For more information regarding to dividend, please check our Dividend Page.


Taiwan Semiconductor Manufacturing Co  (NYSE:TSM) 3-Year Dividend Growth Rate Explanation

1. Dividend Payout Ratio measures the percentage of the company's earnings paid out as dividends.

Taiwan Semiconductor Manufacturing Co's Dividend Payout Ratio for the quarter that ended in Jun. 2026 is calculated as

Dividend Payout Ratio=Dividends per Share (Q: Jun. 2026 )/ EPS without NRI (Q: Jun. 2026 )
=0.857497/ 4.3095195429189
=0.20

During the past 13 years, the highest Dividend Payout Ratio of Taiwan Semiconductor Manufacturing Co was 0.92. The lowest was 0.26. And the median was 0.47.

2. Dividend Yield % measures how much a company pays out in dividends each year relative to its share price.

Taiwan Semiconductor Manufacturing Co Recent Full-Year* Dividend History

Amount Ex-date Record Date Pay Date Type Frequency Forex Rate
USD 1.1136212026-09-162026-09-162026-10-08Cash DividendquarterlyUSD:USD 1.000000
USD 0.9393252026-06-112026-06-112026-07-09Cash DividendquarterlyUSD:USD 1.000000
USD 0.9389722026-03-172026-03-172026-04-09Cash DividendquarterlyUSD:USD 1.000000
USD 0.7954202025-12-112025-12-112026-01-08Cash DividendquarterlyUSD:USD 1.000000

* GuruFocus has an internal rule that if the most recent dividend payment frequency is at least 4 times a year, then the full year will be calculated according to the frequency of payment or the one-year time frame, whichever is stricter.
* GuruFocus converts dividend currency to local traded share price currency in order to calculate dividend yield. Please refer to the last column "Forex Rate" in the above table.

Taiwan Semiconductor Manufacturing Co's Dividend Yield (%) for Today is calculated as

Dividend Yield %=Most Recent Full Year Dividend/Current Share Price
=3.787338/445.14
=0.85 %

Current Share Price is $445.14.
Taiwan Semiconductor Manufacturing Co's Dividends per Share for the trailing twelve months (TTM) ended in Today is $3.787338.

During the past 13 years, the highest Dividend Yield of Taiwan Semiconductor Manufacturing Co was 5.52%. The lowest was 0.81%. And the median was 2.12%.

Warning Sign:

Taiwan Semiconductor Manufacturing Co Ltd stock Dividend Yield % is close to 10-year low.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Taiwan Semiconductor Manufacturing Co 3-Year Dividend Growth Rate Related Terms>


TSM vs NVDA, AVGO, MU: 3-Year Dividend Growth Rate Comparison

For the Semiconductors subindustry, Taiwan Semiconductor Manufacturing Co's 3-Year Dividend Growth Rate, along with its competitors' market caps and 3-Year Dividend Growth Rate data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Taiwan Semiconductor Manufacturing Co 3-Year Dividend Growth Rate vs Semiconductors Industry

For the Semiconductors industry and Technology sector, Taiwan Semiconductor Manufacturing Co's 3-Year Dividend Growth Rate distribution charts can be found below:

* The bar in red indicates where Taiwan Semiconductor Manufacturing Co's 3-Year Dividend Growth Rate falls into.


TSM
98GF Score
Taiwan Semiconductor Manufacturing Co Ltd TSM
3-Year Dividend Growth Rate is just one metric. See GF Score™, valuation, warning signs, and more.
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Taiwan Semiconductor Manufacturing Co 3-Year Dividend Growth Rate Calculation

This is the average annual rate that a company has been raising its dividends. The growth rate is calculated with expontential compound based on the latest four year annual data.

Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the average dividends per share growth rate.

What does a 3-Year Dividend Growth Rate of 20.00% mean?
Taiwan Semiconductor Manufacturing Co (TSM) has a 3-Year Dividend Growth Rate of 20.00% as of Jun. 2026. 3-Year Dividend Growth Rate is the company's three-year average growth of dividend payout. View historical data on Taiwan Semiconductor Manufacturing Co and its competitors. This is 59% above median its historical median of 12.60. According to the industry distribution chart, Taiwan Semiconductor Manufacturing Co ranks #81 out of 372 companies in the Semiconductors industry, placing it in the top 21.8%.
Is Taiwan Semiconductor Manufacturing Co's 3-Year Dividend Growth Rate too high?
Taiwan Semiconductor Manufacturing Co's current 3-Year Dividend Growth Rate of 20.00% is 59% above median its 10-year median of 12.60. Based on the distribution chart, Taiwan Semiconductor Manufacturing Co ranks #81 out of 372 companies in the Semiconductors industry, which is in the top quartile — a strong position relative to peers. Overall, Taiwan Semiconductor Manufacturing Co has a GF Score™ of 98/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Taiwan Semiconductor Manufacturing Co's 3-Year Dividend Growth Rate compare to NVDA and AVGO?
According to the Semiconductors industry distribution chart, Taiwan Semiconductor Manufacturing Co ranks #81 out of 372 companies for 3-Year Dividend Growth Rate. This places Taiwan Semiconductor Manufacturing Co in the top 22% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year Dividend Growth Rate for a Semiconductors company?
A good 3-Year Dividend Growth Rate depends on the Semiconductors industry context. However, 3-Year Dividend Growth Rate should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year Dividend Growth Rate mean?
A high 3-Year Dividend Growth Rate can signal that a stock is expensive relative to its fundamentals. 3-Year Dividend Growth Rate is the company's three-year average growth of dividend payout. View historical data on Taiwan Semiconductor Manufacturing Co and its competitors. Taiwan Semiconductor Manufacturing Co's current 3-Year Dividend Growth Rate is 20.00%, which is 59% above median its own 10-year median of 12.60. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Taiwan Semiconductor Manufacturing Co stock overvalued right now?
Based on GuruFocus' analysis, Taiwan Semiconductor Manufacturing Co (TSM) is currently considered Modestly Overvalued. The stock's GF Value™ is $363.40, compared to a current price of $445.14 — trading 22.5% above its estimated fair value. The current 3-Year Dividend Growth Rate is 20.00%, which is 59% above median its 10-year median of 12.60. Taiwan Semiconductor Manufacturing Co's overall GF Score™ is 98/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year Dividend Growth Rate calculated?
3-Year Dividend Growth Rate is calculated from a company's financial statements. For Taiwan Semiconductor Manufacturing Co (TSM), the current 3-Year Dividend Growth Rate is 20.00% as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Taiwan Semiconductor Manufacturing Co (TSM) Overvalued in 2026?

Based on GuruFocus' analysis, Taiwan Semiconductor Manufacturing Co stock appears to be overvalued. The current stock price of $445.14 is trading 22.5% above its estimated GF Value™ of $363.40. GuruFocus considers Taiwan Semiconductor Manufacturing Co to be Modestly Overvalued.

Key valuation signals for TSM:

  • 3-Year Dividend Growth Rate: 20.00% (59% above median its 10-year median of 12.60)
  • GF Value™: $363.40 vs. price of $445.14 (22.5% above fair value)
  • GF Score™: 98/100 with 5 warning signs

No single metric tells the full story. See the TSM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Taiwan Semiconductor Manufacturing Co Business Description

Address No. 8, Li-Hsin Road 6, Hsinchu Science Park, Hsinchu, TWN, 300-096
Taiwan Semiconductor Manufacturing Co. is the world's largest dedicated chip foundry, with about 70% market share in 2025. TSMC was founded in 1987 as a joint venture of Philips, the government of Taiwan, and private investors. It went public in Taiwan in 1994 and as an ADR in the US 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 base of customers, including Apple, AMD, and Nvidia, that look to apply its cutting-edge process technologies to their semiconductor designs. TSMC employs more than 83,000 people.
98GF Score

Get the complete analysis for TSM

3-Year Dividend Growth Rate is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$445.14
Price
$363.40
GF Value