WallStSmart

TransAct Technologies Incorporated (TACT)vsTaiwan Semiconductor Manufacturing (TSM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Taiwan Semiconductor Manufacturing generates 7766268% more annual revenue ($4.10T vs $52.84M). TSM leads profitability with a 46.5% profit margin vs -0.9%. TACT appears more attractively valued with a PEG of 0.75. TSM earns a higher WallStSmart Score of 84/100 (A-).

TACT

Buy

59

out of 100

Grade: C

Growth: 6.0Profit: 3.0Value: 7.7Quality: 8.5
Piotroski: 3/9Altman Z: 3.26

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

TACTUndervalued (+39.7%)

Margin of Safety

+39.7%

Fair Value

$5.94

Current Price

$5.61

$0.33 discount

UndervaluedFair: $5.94Overvalued
TSMUndervalued (+47.3%)

Margin of Safety

+47.3%

Fair Value

$836.94

Current Price

$477.57

$359.37 discount

UndervaluedFair: $836.94Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

TACT5 strengths · Avg: 9.0/10
EPS GrowthGrowth
3863.0%10/10

Earnings expanding 3863.0% YoY

Altman Z-ScoreHealth
3.2610/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.209/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.758/10

Growing faster than its price suggests

Price/BookValuation
1.8x8/10

Reasonable price relative to book value

TSM6 strengths · Avg: 10.0/10
Market CapQuality
$2.27T10/10

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

TACT4 concerns · Avg: 2.5/10
Market CapQuality
$52.41M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Return on EquityProfitability
-1.5%2/10

ROE of -1.5% — below average capital efficiency

Free Cash FlowQuality
$-1.03M2/10

Negative free cash flow — burning cash

TSM2 concerns · Avg: 3.0/10
P/E RatioValuation
37.7x4/10

Premium valuation, high expectations priced in

Price/BookValuation
73.0x2/10

Trading at 73.0x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : TACT

The strongest argument for TACT centers on EPS Growth, Altman Z-Score, Debt/Equity. Revenue growth of 10.4% demonstrates continued momentum. PEG of 0.75 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 46.5% and operating margin at 58.1%. Revenue growth of 35.1% demonstrates continued momentum.

Bear Case : TACT

The primary concerns for TACT are Market Cap, Piotroski F-Score, Return on Equity.

Bear Case : TSM

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

Key Dynamics to Monitor

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

TACT carries more volatility with a beta of 1.27 — 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 59/100), backed by strong 46.5% margins and 35.1% revenue growth. TACT offers better value entry with a 39.7% 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.

TransAct Technologies Incorporated

TECHNOLOGY · COMPUTER HARDWARE · USA

TransAct Technologies Incorporated designs, develops and markets specialized and transaction-based printers and terminals in the United States and internationally. The company is headquartered in Hamden, Connecticut.

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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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