WallStSmart

Synnex Corporation (SNX)vsTaiwan Semiconductor Manufacturing (TSM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Taiwan Semiconductor Manufacturing generates 6200% more annual revenue ($4.10T vs $65.14B). TSM leads profitability with a 46.5% profit margin vs 1.5%. TSM appears more attractively valued with a PEG of 1.31. TSM earns a higher WallStSmart Score of 84/100 (A-).

SNX

Buy

64

out of 100

Grade: C+

Growth: 7.3Profit: 5.0Value: 6.7Quality: 7.0
Piotroski: 5/9Altman Z: 2.45

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

SNXUndervalued (+30.7%)

Margin of Safety

+30.7%

Fair Value

$245.36

Current Price

$268.80

$23.44 discount

UndervaluedFair: $245.36Overvalued
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

SNX4 strengths · Avg: 8.8/10
EPS GrowthGrowth
104.4%10/10

Earnings expanding 104.4% YoY

Debt/EquityHealth
0.139/10

Conservative balance sheet, low leverage

Price/BookValuation
2.4x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
18.1%8/10

18.1% revenue growth

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

SNX4 concerns · Avg: 3.0/10
PEG RatioValuation
1.574/10

Expensive relative to growth rate

Profit MarginProfitability
1.5%3/10

1.5% margin — thin

Operating MarginProfitability
2.9%3/10

Operating margin of 2.9%

Free Cash FlowQuality
$-929.01M2/10

Negative free cash flow — burning cash

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 : SNX

The strongest argument for SNX centers on EPS Growth, Debt/Equity, Price/Book. Revenue growth of 18.1% 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 : SNX

The primary concerns for SNX are PEG Ratio, Profit Margin, Operating Margin. Thin 1.5% margins leave little buffer for downturns.

Bear Case : TSM

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

Key Dynamics to Monitor

SNX carries more volatility with a beta of 1.44 — 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.

Monitor ELECTRONICS & COMPUTER DISTRIBUTION industry trends, competitive dynamics, and regulatory changes.

Bottom Line

TSM scores higher overall (84/100 vs 64/100), backed by strong 46.5% margins and 35.1% revenue growth. SNX offers better value entry with a 30.7% margin of safety. 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.

Synnex Corporation

TECHNOLOGY · ELECTRONICS & COMPUTER DISTRIBUTION · USA

SYNNEX Corporation provides business process services in the United States and internationally. The company is headquartered in Fremont, 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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