Taiwan Semiconductor Manufacturing (TSM)vsVale SA ADR (VALE)
TSM
Taiwan Semiconductor Manufacturing
$411.68
-0.60%
TECHNOLOGY · Cap: $2.18T
VALE
Vale SA ADR
$16.63
+2.72%
BASIC MATERIALS · Cap: $69.04B
Smart Verdict
WallStSmart Research — data-driven comparison
Taiwan Semiconductor Manufacturing generates 1810% more annual revenue ($4.10T vs $214.86B). TSM leads profitability with a 46.5% profit margin vs 7.3%. VALE appears more attractively valued with a PEG of 0.33. TSM earns a higher WallStSmart Score of 84/100 (A-).
TSM
Exceptional Buy84
out of 100
Grade: A-
VALE
Strong Buy67
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+72.3%
Fair Value
$1394.10
Current Price
$411.68
$982.42 discount
Margin of Safety
+81.8%
Fair Value
$95.70
Current Price
$16.63
$79.07 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Growing faster than its price suggests
Large-cap with strong market position
Reasonable price relative to book value
Strong operational efficiency at 28.1%
Earnings expanding 22.0% YoY
Areas to Watch
Premium valuation, high expectations priced in
Trading at 62.9x book value
2.7% revenue growth
ROE of 6.8% — below average capital efficiency
7.3% margin — thin
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 46.5% and operating margin at 58.1%. Revenue growth of 35.1% demonstrates continued momentum.
Bull Case : VALE
The strongest argument for VALE centers on PEG Ratio, Market Cap, Price/Book. PEG of 0.33 suggests the stock is reasonably priced for its growth.
Bear Case : TSM
The primary concerns for TSM are P/E Ratio, Price/Book.
Bear Case : VALE
The primary concerns for VALE are Revenue Growth, Return on Equity, Profit Margin.
Key Dynamics to Monitor
TSM profiles as a growth stock while VALE is a value 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 67/100), backed by strong 46.5% margins and 35.1% revenue growth. VALE offers better value entry with a 81.8% margin of safety. 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 →Vale SA ADR
BASIC MATERIALS · OTHER INDUSTRIAL METALS & MINING · USA
Vale SA produces and sells iron ore and iron ore pellets for use as raw material in steelmaking in Brazil and internationally. The company is headquartered in Rio de Janeiro, Brazil.
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