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Summary
TSMC (TSM) fell 10.78% to $353.10 on November 5, 2026, as a sell-off in chip stocks ran into a second day.
TIKR reported that TSMC had no news of its own and tied the drop to fears of a slower AI build-out after Democrats' midterm wins.
The fall was steeper than the Nasdaq Composite's 5.52% drop, on volume 282.80% above the stock's average.
Gotrade News - In the latest TSMC stock news, Taiwan Semiconductor Manufacturing (TSM) fell 10.78% to close at $353.10 on Thursday, November 5, 2026, as a sell-off in chip stocks ran into a second day. TSMC itself had no news, according to TIKR, which tied the drop in TSMC stock to fears of a slower AI build-out after Democrats' larger-than-expected midterm wins.
TSM Trading Data
Data
Value
Closing price
$353.10
Change
-$42.65 (-10.78%)
Previous close
$395.75
Open
$379.75
Day range
$351.19 to $380.78
Volume
43.0 million shares
30-day average volume
11.2 million shares
52-week range
$266.82 to $487.47
Regular-session close on Thursday, November 5, 2026, 4:00 p.m. New York time. Stock prices: Yahoo Finance, cross-checked against the closing price on Nasdaq.com. Volume and 30-day average volume: Nasdaq.com. 52-week range: Yahoo Finance daily highs and lows since November 6, 2025. Indices and the 10-year Treasury yield: Yahoo Finance daily closes for the same date.
TSM opened below Wednesday's close and sold off through the session, finishing just $1.91 above its intraday low. Trading was heavy, with volume running 282.80% above the stock's average.
The drop was steeper than the broader market's. On the same November 5 session, the Nasdaq Composite fell 5.52% to 24,315.00, the S&P 500 lost 4.36% to 7,353.73 and the Dow Jones Industrial Average slid 3.44% to 51,523.06, leaving TSM 5.26 percentage points behind the Nasdaq. The US 10-year Treasury yield fell 5.7 basis points to 4.84%.
After the decline, TSM sits 27.56% below its 52-week high and 32.34% above its 52-week low.
Why TSMC Stock Fell
The drop did not come from company news: TIKR reported that TSMC had no news of its own on Thursday. Financial media tied the fall instead to a chip rout that deepened after Democrats' larger-than-expected midterm wins raised fears of a slower AI build-out.
Two industry reports added pressure, as reported by TIKR. Qualcomm, a TSMC customer, warned on memory costs after Wednesday's close, and Bloomberg reported on Thursday morning that Micron had paused a $4.5 billion Taiwan plant.
The selling also reflects wider doubts about AI budgets. According to The Motley Fool, recent selling pressure has raised questions about the sustainability of massive AI infrastructure spending.
TSM Stock Analysis: Supporting Factors and Risks
Supporting Factors
According to the company's official third-quarter release, TSMC's revenue rose 41.2% from a year earlier to US$46.72 billion, with a 66.4% gross margin and diluted EPS of NT$29.43, or US$4.60 per ADR unit.
The same release guides fourth-quarter revenue to US$52.3 billion to US$54.3 billion, with a gross margin of 65% to 67%.
The Motley Fool reported that TSMC generated roughly $32 billion in free cash flow in 2025 even after more than $40 billion in capital expenditures, with a debt-to-equity ratio of about 0.2x.
Risks
TIKR wrote that if AI spending does slow, TSMC's 2027 guidance in mid-January will be the first sign.
The Motley Fool lists heavy capital requirements and competition from rival chipmakers among the risks to the business.
The same article flags geopolitical risk from TSMC's manufacturing being concentrated in Taiwan amid tensions with China.
The next read on demand is TSMC's October revenue, which TIKR says is due next week and will be the first check on the fourth-quarter guidance.
This article is for education and information only and is not investment advice. Investment decisions are yours to make after your own research.
Gotrade is the trading name of Gotrade Securities Inc., which is registered with and supervised by the Labuan Financial Services Authority (LFSA). This content is for educational purposes only and does not constitute financial advice. Always do your own research (DYOR) before investing.
M. Alfathan Rahman is a content writer with over 3 years of experience developing digital content strategies across various industries, including fintech. He has experience producing content for tax-related websites and financial education platforms. His focus areas include data research, and crafting financial articles that are informative, accurate, and accessible to investors of all experience levels.
Hendrie Saputra holds a Master of Business Administration (MBA) with a concentration in Business Risk & Finance, along with professional experience in finance, marketing, and project management. He is experienced in analyzing market data and developing research-driven business strategies.
