Taiwan Semiconductor Manufacturing (TSM)vsTexas Instruments Incorporated (TXN)
TSM
Taiwan Semiconductor Manufacturing
$406.13
-5.95%
TECHNOLOGY · Cap: $2.27T
TXN
Texas Instruments Incorporated
$300.84
-3.38%
TECHNOLOGY · Cap: $275.04B
Smart Verdict
WallStSmart Research — data-driven comparison
Taiwan Semiconductor Manufacturing generates 23712% more annual revenue ($4.94T vs $20.77B). TSM leads profitability with a 51.1% profit margin vs 34.3%. TSM appears more attractively valued with a PEG of 0.77. TSM earns a higher WallStSmart Score of 86/100 (A).
TSM
Exceptional Buy86
out of 100
Grade: A
TXN
Strong Buy78
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+55.1%
Fair Value
$979.05
Current Price
$406.13
$572.92 discount
Intrinsic value data unavailable for TXN.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 37 in profit
Keeps 51 of every $100 in revenue as profit
Strong operational efficiency at 58.7%
Revenue surging 50.9% year-over-year
Earnings expanding 68.7% YoY
Mega-cap, among the largest globally
Every $100 of equity generates 37 in profit
Keeps 34 of every $100 in revenue as profit
Strong operational efficiency at 47.5%
Earnings expanding 77.0% YoY
Safe zone — low bankruptcy risk
Areas to Watch
Moderate valuation
Trading at 77.5x book value
Premium valuation, high expectations priced in
Trading at 14.3x book value
Comparative Analysis Report
WallStSmart ResearchBull 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.
Bull Case : TXN
The strongest argument for TXN centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 34.3% and operating margin at 47.5%. Revenue growth of 27.7% demonstrates continued momentum.
Bear Case : TSM
The primary concerns for TSM are P/E Ratio, Price/Book.
Bear Case : TXN
The primary concerns for TXN are P/E Ratio, Price/Book.
Key Dynamics to Monitor
TXN carries more volatility with a beta of 1.34 — 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.
Monitor SEMICONDUCTORS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
TSM scores higher overall (86/100 vs 78/100), backed by strong 51.1% margins and 50.9% revenue growth. Both earn "Exceptional Buy" and "Strong 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.
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 →Texas Instruments Incorporated
TECHNOLOGY · SEMICONDUCTORS · USA
Texas Instruments Incorporated (TI) is an American technology company headquartered in Dallas, Texas, that designs and manufactures semiconductors and various integrated circuits, which it sells to electronics designers and manufacturers globally. It is one of the top 10 semiconductor companies worldwide based on sales volume.
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