WallStSmart

Rapid7 Inc (RPD)vsTaiwan Semiconductor Manufacturing (TSM)

VS
⚡

Smart Verdict

WallStSmart Research — data-driven comparison

Taiwan Semiconductor Manufacturing generates 581393% more annual revenue ($4.94T vs $850.37M). TSM leads profitability with a 51.1% profit margin vs 1.6%. TSM appears more attractively valued with a PEG of 0.68. TSM earns a higher WallStSmart Score of 86/100 (A).

RPD

Hold

42

out of 100

Grade: D

Growth: 3.3Profit: 4.5Value: 6.7Quality: 2.5
Piotroski: 2/9Altman Z: -0.07

TSM

Exceptional Buy

86

out of 100

Grade: A

Growth: 9.3Profit: 10.0Value: 8.0Quality: 9.0
Piotroski: 6/9Altman Z: 3.85
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

RPDUndervalued (+87.7%)

Margin of Safety

+87.7%

Fair Value

$60.04

Current Price

$14.40

$45.64 discount

UndervaluedFair: $60.04Overvalued
TSMUndervalued (+60.2%)

Margin of Safety

+60.2%

Fair Value

$976.07

Current Price

$413.35

$562.72 discount

UndervaluedFair: $976.07Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

RPD1 strengths · Avg: 8.0/10
PEG RatioValuation
0.778/10

Growing faster than its price suggests

TSM6 strengths · Avg: 10.0/10
Market CapQuality
$1.95T10/10

Mega-cap, among the largest globally

Return on EquityProfitability
36.5%10/10

Every $100 of equity generates 37 in profit

Profit MarginProfitability
51.1%10/10

Keeps 51 of every $100 in revenue as profit

Operating MarginProfitability
58.7%10/10

Strong operational efficiency at 58.7%

Revenue GrowthGrowth
50.9%10/10

Revenue surging 50.9% year-over-year

EPS GrowthGrowth
68.7%10/10

Earnings expanding 68.7% YoY

Areas to Watch

RPD4 concerns · Avg: 3.0/10
Market CapQuality
$1.01B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
1.6%3/10

1.6% margin — thin

Operating MarginProfitability
3.1%3/10

Operating margin of 3.1%

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

TSM1 concerns · Avg: 2.0/10
Price/BookValuation
78.9x2/10

Trading at 78.9x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : RPD

The strongest argument for RPD centers on PEG Ratio. PEG of 0.77 suggests the stock is reasonably priced for its growth.

Bull Case : TSM

The strongest argument for TSM centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 51.1% and operating margin at 58.7%. Revenue growth of 50.9% demonstrates continued momentum.

Bear Case : RPD

The primary concerns for RPD are Market Cap, Profit Margin, Operating Margin. A P/E of 70.4x leaves little room for execution misses. Debt-to-equity of 4.34 is elevated, increasing financial risk.

Bear Case : TSM

The primary concerns for TSM are Price/Book.

Key Dynamics to Monitor

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

TSM carries more volatility with a beta of 1.23 — expect wider price swings.

TSM is growing revenue faster at 50.9% — sustainability is the question.

TSM generates stronger free cash flow (510.1B), providing more financial flexibility.

Bottom Line

TSM scores higher overall (86/100 vs 42/100), backed by strong 51.1% margins and 50.9% revenue growth. RPD offers better value entry with a 87.7% 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.

Rapid7 Inc

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

Rapid7, Inc. provides cyber security solutions. The company is headquartered in Boston, Massachusetts.

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.

Visit Website →

Want to dig deeper into these stocks?