WallStSmart

CEVA Inc (CEVA)vsTaiwan Semiconductor Manufacturing (TSM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Taiwan Semiconductor Manufacturing generates 3651808% more annual revenue ($4.10T vs $112.38M). TSM leads profitability with a 46.5% profit margin vs -10.5%. TSM appears more attractively valued with a PEG of 1.31. TSM earns a higher WallStSmart Score of 84/100 (A-).

CEVA

Hold

37

out of 100

Grade: F

Growth: 6.0Profit: 2.0Value: 5.0Quality: 8.5
Piotroski: 3/9Altman Z: 4.93

TSM

Exceptional Buy

84

out of 100

Grade: A-

Growth: 9.3Profit: 10.0Value: 6.7Quality: 9.0
Piotroski: 6/9Altman Z: 3.85
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CEVAUndervalued (+25.5%)

Margin of Safety

+25.5%

Fair Value

$31.80

Current Price

$43.58

$11.78 discount

UndervaluedFair: $31.80Overvalued
TSMUndervalued (+49.5%)

Margin of Safety

+49.5%

Fair Value

$839.44

Current Price

$415.17

$424.27 discount

UndervaluedFair: $839.44Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CEVA3 strengths · Avg: 10.0/10
EPS GrowthGrowth
95.9%10/10

Earnings expanding 95.9% YoY

Debt/EquityHealth
0.0510/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.9310/10

Safe zone — low bankruptcy risk

TSM6 strengths · Avg: 10.0/10
Market CapQuality
$2.18T10/10

Mega-cap, among the largest globally

Return on EquityProfitability
32.8%10/10

Every $100 of equity generates 33 in profit

Profit MarginProfitability
46.5%10/10

Keeps 47 of every $100 in revenue as profit

Operating MarginProfitability
58.1%10/10

Strong operational efficiency at 58.1%

Revenue GrowthGrowth
35.1%10/10

Revenue surging 35.1% year-over-year

EPS GrowthGrowth
58.4%10/10

Earnings expanding 58.4% YoY

Areas to Watch

CEVA4 concerns · Avg: 2.5/10
Market CapQuality
$1.38B3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
4.862/10

Expensive relative to growth rate

Return on EquityProfitability
-3.5%2/10

ROE of -3.5% — below average capital efficiency

TSM2 concerns · Avg: 3.0/10
P/E RatioValuation
36.2x4/10

Premium valuation, high expectations priced in

Price/BookValuation
63.5x2/10

Trading at 63.5x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : CEVA

The strongest argument for CEVA centers on EPS Growth, Debt/Equity, Altman Z-Score. Revenue growth of 11.5% demonstrates continued momentum.

Bull Case : TSM

The strongest argument for TSM centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 46.5% and operating margin at 58.1%. Revenue growth of 35.1% demonstrates continued momentum.

Bear Case : CEVA

The primary concerns for CEVA are Market Cap, Piotroski F-Score, PEG Ratio.

Bear Case : TSM

The primary concerns for TSM are P/E Ratio, Price/Book.

Key Dynamics to Monitor

CEVA profiles as a turnaround stock while TSM is a growth play — different risk/reward profiles.

CEVA carries more volatility with a beta of 2.01 — expect wider price swings.

TSM is growing revenue faster at 35.1% — sustainability is the question.

TSM generates stronger free cash flow (377.1B), providing more financial flexibility.

Bottom Line

TSM scores higher overall (84/100 vs 37/100), backed by strong 46.5% margins and 35.1% revenue growth. CEVA offers better value entry with a 25.5% margin of safety. Both earn "Exceptional Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

CEVA Inc

TECHNOLOGY · SEMICONDUCTORS · USA

CEVA Inc is a leading licensor of advanced signal processing and artificial intelligence technologies, serving vital sectors such as mobile, automotive, and the Internet of Things (IoT). The company's robust offerings include sophisticated digital signal processing (DSP) cores and software solutions that enable features like audio processing, voice recognition, and computer vision. With a strong emphasis on innovation and a rich intellectual property portfolio, CEVA is well-positioned to capitalize on the growing demand for efficient AI solutions in a connected world. Its extensive network of partnerships further strengthens its competitive advantage, establishing CEVA as a pivotal player in the semiconductor industry.

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Taiwan Semiconductor Manufacturing

TECHNOLOGY · SEMICONDUCTORS · USA

Taiwan Semiconductor Manufacturing Company, Limited is a Taiwanese multinational semiconductor contract manufacturing and design company. It is one of Taiwan's largest companies, the world's most valuable semiconductor company, and the world's largest dedicated independent (pure-play) semiconductor foundry, with its headquarters and main operations located in the Hsinchu Science Park in Hsinchu, Taiwan. It is majority owned by foreign investors.

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