Target Corporation (TGT)vsTaiwan Semiconductor Manufacturing (TSM)
TGT
Target Corporation
$125.25
-0.50%
CONSUMER DEFENSIVE · Cap: $56.89B
TSM
Taiwan Semiconductor Manufacturing
$411.68
-0.60%
TECHNOLOGY · Cap: $2.18T
Smart Verdict
WallStSmart Research — data-driven comparison
Taiwan Semiconductor Manufacturing generates 3817% more annual revenue ($4.10T vs $104.78B). TSM leads profitability with a 46.5% profit margin vs 3.5%. TSM appears more attractively valued with a PEG of 1.25. TSM earns a higher WallStSmart Score of 84/100 (A-).
TGT
Hold48
out of 100
Grade: D+
TSM
Exceptional Buy84
out of 100
Grade: A-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+33.2%
Fair Value
$171.51
Current Price
$125.25
$46.26 discount
Margin of Safety
+72.3%
Fair Value
$1394.10
Current Price
$411.68
$982.42 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Every $100 of equity generates 24 in profit
Attractively priced relative to earnings
Generating 2.3B in free cash flow
Mega-cap, among the largest globally
Every $100 of equity generates 36 in profit
Keeps 47 of every $100 in revenue as profit
Strong operational efficiency at 58.1%
Revenue surging 35.1% year-over-year
Earnings expanding 58.4% YoY
Areas to Watch
Expensive relative to growth rate
3.5% margin — thin
Operating margin of 4.9%
Revenue declined 1.5%
Premium valuation, high expectations priced in
Trading at 62.9x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : TGT
The strongest argument for TGT centers on Market Cap, Return on Equity, P/E Ratio.
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 : TGT
The primary concerns for TGT are PEG Ratio, Profit Margin, Operating Margin. Thin 3.5% margins leave little buffer for downturns.
Bear Case : TSM
The primary concerns for TSM are P/E Ratio, Price/Book.
Key Dynamics to Monitor
TGT 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 48/100), backed by strong 46.5% margins and 35.1% revenue growth. TGT offers better value entry with a 33.2% 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.
Target Corporation
CONSUMER DEFENSIVE · DISCOUNT STORES · USA
Target Corporation is an American retail corporation. Their retail formats include the discount store Target, the hypermarket SuperTarget, and small-format stores previously named CityTarget and TargetExpress before being consolidated under the Target branding.
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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