One Stock Superinvestors Are Dumping: Is It Time to Sell?

As part of the weekly research here at The Acquirer’s Multiple we’re always interested in superinvestors who hold the same stocks that appear in our Acquirer’s Multiple Stock Screeners, based on their latest 13F’s. Investors such as Warren Buffett, Joel Greenblatt, Carl Icahn, Prem Watsa, Jeremy Grantham, Seth Klarman, Ray Dalio, and Howard Marks.

While doing this research we’ve also uncovered a number of stocks that superinvestors have sold, or reduced in their portfolios, according to their latest 13f’s. So we’re now providing a new weekly feature article called ‘One Stock Superinvestors Are Selling‘. This week we’ll take a look at:

Taiwan Semiconductor Mfg Co Ltd (TSM)

Taiwan Semiconductor Manufacturing Co. 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 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 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.

A quick look at the price chart below for the company shows us that the stock is up 59.40% in the past twelve months.

Source: Google Finance

Superinvestors who reduced, or sold out of the company’s stock, according to their latest 13Fs, include:

(Remaining shares)

Jean-Marie Eveillard – 5,639,152

Steve Mandel – 4,212,861

Israel Englander – 1,975,084

Ken Griffin – 1,828,945

Dan Loeb – 1,780,000

David Tepper – 250,000

Cath Wood – 222,253

John Rogers – 141,832

Rich Pzena – 55,060

One Stock Superinvestors Are Dumping: Is It Time to Sell?

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