WallStSmart

TOYO Co., Ltd Ordinary Shares (TOYO)vsTaiwan Semiconductor Manufacturing (TSM)

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Smart Verdict

WallStSmart Research — data-driven comparison

Taiwan Semiconductor Manufacturing generates 791225% more annual revenue ($4.10T vs $518.61M). TSM leads profitability with a 46.5% profit margin vs 13.8%. TOYO trades at a lower P/E of 8.1x. TSM earns a higher WallStSmart Score of 84/100 (A-).

TOYO

Buy

64

out of 100

Grade: C+

Growth: 8.3Profit: 8.5Value: 6.7Quality: 5.5
Piotroski: 5/9Altman Z: 1.54

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

Intrinsic value data unavailable for TOYO.

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

TOYO5 strengths · Avg: 9.6/10
P/E RatioValuation
8.1x10/10

Attractively priced relative to earnings

Return on EquityProfitability
30.3%10/10

Every $100 of equity generates 30 in profit

Revenue GrowthGrowth
177.0%10/10

Revenue surging 177.0% year-over-year

EPS GrowthGrowth
69.8%10/10

Earnings expanding 69.8% YoY

Operating MarginProfitability
25.4%8/10

Strong operational efficiency at 25.4%

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

TOYO2 concerns · Avg: 3.5/10
Altman Z-ScoreHealth
1.544/10

Distress zone — elevated risk

Market CapQuality
$593.76M3/10

Smaller company, higher risk/reward

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 : TOYO

The strongest argument for TOYO centers on P/E Ratio, Return on Equity, Revenue Growth. Revenue growth of 177.0% 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 : TOYO

The primary concerns for TOYO are Altman Z-Score, Market Cap.

Bear Case : TSM

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

Key Dynamics to Monitor

TOYO carries more volatility with a beta of 1.32 — expect wider price swings.

TOYO is growing revenue faster at 177.0% — sustainability is the question.

TSM generates stronger free cash flow (377.1B), providing more financial flexibility.

Monitor SOLAR 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. 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.

TOYO Co., Ltd Ordinary Shares

TECHNOLOGY · SOLAR · USA

Toyo Co., Ltd. engages in the manufacture and sale of cutting tools. The company is headquartered in Shiojiri, Japan.

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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