WallStSmart

Ross Stores Inc (ROST)vsTaiwan Semiconductor Manufacturing (TSM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Taiwan Semiconductor Manufacturing generates 17939% more annual revenue ($4.10T vs $22.75B). TSM leads profitability with a 46.5% profit margin vs 9.4%. TSM appears more attractively valued with a PEG of 1.25. TSM earns a higher WallStSmart Score of 84/100 (A-).

ROST

Buy

56

out of 100

Grade: C

Growth: 6.0Profit: 7.5Value: 3.3Quality: 7.0
Piotroski: 5/9Altman Z: 3.10

TSM

Exceptional Buy

84

out of 100

Grade: A-

Growth: 9.3Profit: 10.0Value: 6.7Quality: 9.0
Piotroski: 6/9Altman Z: 3.86
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ROSTFair Value (-4.9%)

Margin of Safety

-4.9%

Fair Value

$183.53

Current Price

$225.81

$42.28 premium

UndervaluedFair: $183.53Overvalued
TSMUndervalued (+72.3%)

Margin of Safety

+72.3%

Fair Value

$1394.10

Current Price

$411.68

$982.42 discount

UndervaluedFair: $1394.10Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ROST3 strengths · Avg: 9.7/10
Return on EquityProfitability
36.7%10/10

Every $100 of equity generates 37 in profit

Altman Z-ScoreHealth
3.1010/10

Safe zone — low bankruptcy risk

Market CapQuality
$73.04B9/10

Large-cap with strong market position

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

Mega-cap, among the largest globally

Return on EquityProfitability
36.2%10/10

Every $100 of equity generates 36 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

ROST3 concerns · Avg: 3.3/10
P/E RatioValuation
34.1x4/10

Premium valuation, high expectations priced in

Price/BookValuation
11.8x4/10

Trading at 11.8x book value

PEG RatioValuation
3.312/10

Expensive relative to growth rate

TSM2 concerns · Avg: 3.0/10
P/E RatioValuation
36.0x4/10

Premium valuation, high expectations priced in

Price/BookValuation
62.9x2/10

Trading at 62.9x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : ROST

The strongest argument for ROST centers on Return on Equity, Altman Z-Score, Market Cap. Revenue growth of 12.2% 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 : ROST

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

Bear Case : TSM

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

Key Dynamics to Monitor

ROST profiles as a value stock while TSM is a growth play — different risk/reward profiles.

TSM carries more volatility with a beta of 1.26 — 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 56/100), backed by strong 46.5% margins and 35.1% revenue growth. Both earn "Exceptional Buy" and "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.

Ross Stores Inc

CONSUMER CYCLICAL · APPAREL RETAIL · USA

Ross Stores, Inc., operating under the brand name Ross Dress for Less, is an American chain of discount department stores headquartered in Dublin, California.

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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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