Credo Technology Group Holding Ltd (CRDO)vsTaiwan Semiconductor Manufacturing (TSM)
CRDO
Credo Technology Group Holding Ltd
$103.91
+3.60%
TECHNOLOGY · Cap: $18.50B
TSM
Taiwan Semiconductor Manufacturing
$347.75
+1.31%
TECHNOLOGY · Cap: $1.71T
Smart Verdict
WallStSmart Research — data-driven comparison
Taiwan Semiconductor Manufacturing generates 356507% more annual revenue ($3.81T vs $1.07B). TSM leads profitability with a 45.1% profit margin vs 31.8%. TSM trades at a lower P/E of 31.8x. TSM earns a higher WallStSmart Score of 82/100 (A-).
CRDO
Strong Buy69
out of 100
Grade: B-
TSM
Exceptional Buy82
out of 100
Grade: A-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-50.7%
Fair Value
$85.18
Current Price
$103.91
$18.73 premium
Margin of Safety
+20.3%
Fair Value
$483.91
Current Price
$347.75
$136.16 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 32 of every $100 in revenue as profit
Strong operational efficiency at 36.8%
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Every $100 of equity generates 28 in profit
Mega-cap, among the largest globally
Every $100 of equity generates 35 in profit
Keeps 45 of every $100 in revenue as profit
Strong operational efficiency at 53.9%
Generating 388.2B in free cash flow
Safe zone — low bankruptcy risk
Areas to Watch
Trading at 10.3x book value
2.0% revenue growth
4.1% earnings growth
Premium valuation, high expectations priced in
Premium valuation, high expectations priced in
Trading at 52.9x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : CRDO
The strongest argument for CRDO centers on Profit Margin, Operating Margin, Debt/Equity. Profitability is solid with margins at 31.8% and operating margin at 36.8%.
Bull Case : TSM
The strongest argument for TSM centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 45.1% and operating margin at 53.9%. Revenue growth of 20.5% demonstrates continued momentum.
Bear Case : CRDO
The primary concerns for CRDO are Price/Book, Revenue Growth, EPS Growth. A P/E of 55.1x leaves little room for execution misses.
Bear Case : TSM
The primary concerns for TSM are P/E Ratio, Price/Book.
Key Dynamics to Monitor
CRDO profiles as a value stock while TSM is a growth play — different risk/reward profiles.
CRDO carries more volatility with a beta of 2.68 — expect wider price swings.
TSM is growing revenue faster at 20.5% — sustainability is the question.
TSM generates stronger free cash flow (388.2B), providing more financial flexibility.
Bottom Line
TSM scores higher overall (82/100 vs 69/100), backed by strong 45.1% margins and 20.5% revenue growth. Both earn "Exceptional Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Credo Technology Group Holding Ltd
TECHNOLOGY · SEMICONDUCTORS · USA
Credo Technology Group Holding Ltd offers various high-speed connectivity solutions for electrical and optical Ethernet applications in the United States, Mexico, Malaysia, Hong Kong and internationally. The company is headquartered in San Jose, California.
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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