TAIWAN SEMICONDUCTOR-SP ADR (TSM)
US8740391003 - ADR
Taking everything into account, TSM scores 6 out of 10 in our fundamental rating. TSM was compared to 108 industry peers in the Semiconductors & Semiconductor Equipment industry. While TSM has a great profitability rating, there are some minor concerns on its financial health. TSM shows excellent growth, but is valued quite expensive already. With these ratings, TSM could be worth investigating further for growth investing!.
1. Profitability
1.1 Basic Checks
Each year in the past 5 years TSM has been profitable.
Each year in the past 5 years TSM had a positive operating cash flow.
1.2 Ratios
TSM has a better Return On Assets (16.82%) than 91.67% of its industry peers.
TSM has a Return On Equity of 26.00%. This is amongst the best in the industry. TSM outperforms 89.81% of its industry peers.
TSM has a better Return On Invested Capital (19.84%) than 93.52% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TSM is significantly above the industry average of 11.24%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.82% | ||
| ROE | 26% | ||
| ROIC | 19.84% |
ROA(3y)17.21%
ROA(5y)17.13%
ROE(3y)28.75%
ROE(5y)27.11%
ROIC(3y)20%
ROIC(5y)20.06%
1.3 Margins
TSM's Profit Margin of 39.12% is amongst the best of the industry. TSM outperforms 96.30% of its industry peers.
In the last couple of years the Profit Margin of TSM has grown nicely.
TSM has a Operating Margin of 43.62%. This is amongst the best in the industry. TSM outperforms 98.15% of its industry peers.
In the last couple of years the Operating Margin of TSM has grown nicely.
Looking at the Gross Margin, with a value of 54.45%, TSM is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
In the last couple of years the Gross Margin of TSM has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 43.62% | ||
| PM (TTM) | 39.12% | ||
| GM | 54.45% |
OM growth 3Y0.24%
OM growth 5Y2.69%
PM growth 3Y0.1%
PM growth 5Y2.64%
GM growth 3Y0.78%
GM growth 5Y2.4%
2. Health
2.1 Basic Checks
Compared to 1 year ago, TSM has about the same amount of shares outstanding.
Compared to 5 years ago, TSM has about the same amount of shares outstanding.
TSM has a better debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of TSM is 1.24, which is an excellent value as it means it would take TSM, only 1.24 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of TSM (1.24) is better than 77.78% of its industry peers.
TSM has a Debt/Equity ratio of 0.24. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.24, TSM perfoms like the industry average, outperforming 41.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 1.24 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 2.57 indicates that TSM has no problem at all paying its short term obligations.
The Current ratio of TSM (2.57) is comparable to the rest of the industry.
A Quick Ratio of 2.30 indicates that TSM has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 2.30, TSM is in line with its industry, outperforming 54.63% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.57 | ||
| Quick Ratio | 2.3 |
3. Growth
3.1 Past
TSM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.82%, which is quite good.
The Earnings Per Share has been growing by 19.00% on average over the past years. This is quite good.
Looking at the last year, TSM shows a very strong growth in Revenue. The Revenue has grown by 22.65%.
TSM shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 15.95% yearly.
EPS 1Y (TTM)15.82%
EPS 3Y17.43%
EPS 5Y19%
EPS Q2Q%54.04%
Revenue 1Y (TTM)22.65%
Revenue growth 3Y17.3%
Revenue growth 5Y15.95%
Sales Q2Q%38.95%
3.2 Future
TSM is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 17.00% yearly.
TSM is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 15.25% yearly.
EPS Next Y40.58%
EPS Next 2Y34.92%
EPS Next 3Y29.19%
EPS Next 5Y17%
Revenue Next Year32.78%
Revenue Next 2Y29.06%
Revenue Next 3Y24.5%
Revenue Next 5Y15.25%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
TSM has an outstanding profitability rating, which may justify a higher PE ratio.
TSM's earnings are expected to grow with 29.19% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y34.92%
EPS Next 3Y29.19%
5. Dividend
5.1 Amount
TSM has a Yearly Dividend Yield of 1.50%. Purely for dividend investing, there may be better candidates out there.
TSM's Dividend Yield is rather good when compared to the industry average which is at 2.21. TSM pays more dividend than 85.19% of the companies in the same industry.
TSM's Dividend Yield is slightly below the S&P500 average, which is at 2.24.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.5% |
5.2 History
The dividend of TSM is nicely growing with an annual growth rate of 7.06%!
TSM has paid a dividend for at least 10 years, which is a reliable track record.
TSM has decreased its dividend in the last 3 years.
Dividend Growth(5Y)7.06%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
TSM pays out 32.50% of its income as dividend. This is a sustainable payout ratio.
TSM's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP32.5%
EPS Next 2Y34.92%
EPS Next 3Y29.19%
TAIWAN SEMICONDUCTOR-SP ADR
NYSE:TSM (12/20/2024, 8:04:00 PM)
After market: 198.21 +1 (+0.51%)197.21
+2.57 (+1.32%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners37.06%
Inst Owner Change-1.66%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap1022.75B
Analysts84.74
Price Target200.38 (1.61%)
Short Float %0.12%
Short Ratio2.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.5% |
Dividend Growth(5Y)7.06%
DP32.5%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.49%
Min EPS beat(2)3.59%
Max EPS beat(2)7.39%
EPS beat(4)4
Avg EPS beat(4)4.32%
Min EPS beat(4)2.94%
Max EPS beat(4)7.39%
EPS beat(8)8
Avg EPS beat(8)4.04%
EPS beat(12)11
Avg EPS beat(12)3.94%
EPS beat(16)14
Avg EPS beat(16)3.1%
Revenue beat(2)1
Avg Revenue beat(2)-0.15%
Min Revenue beat(2)-0.72%
Max Revenue beat(2)0.41%
Revenue beat(4)1
Avg Revenue beat(4)-0.36%
Min Revenue beat(4)-0.82%
Max Revenue beat(4)0.41%
Revenue beat(8)1
Avg Revenue beat(8)-1.42%
Revenue beat(12)2
Avg Revenue beat(12)-0.97%
Revenue beat(16)2
Avg Revenue beat(16)-1.11%
PT rev (1m)-6.1%
PT rev (3m)8.89%
EPS NQ rev (1m)2.01%
EPS NQ rev (3m)21.75%
EPS NY rev (1m)-0.01%
EPS NY rev (3m)6.6%
Revenue NQ rev (1m)1.11%
Revenue NQ rev (3m)8.11%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.89%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | N/A | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | N/A |
EPS(TTM)N/A
EYN/A
EPS(NY)N/A
Fwd EYN/A
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpSN/A
BVpSN/A
TBVpSN/A
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.82% | ||
| ROE | 26% | ||
| ROCE | 22.74% | ||
| ROIC | 19.84% | ||
| ROICexc | 35% | ||
| ROICexgc | 35.27% | ||
| OM | 43.62% | ||
| PM (TTM) | 39.12% | ||
| GM | 54.45% | ||
| FCFM | 31.25% |
ROA(3y)17.21%
ROA(5y)17.13%
ROE(3y)28.75%
ROE(5y)27.11%
ROIC(3y)20%
ROIC(5y)20.06%
ROICexc(3y)32.59%
ROICexc(5y)31.89%
ROICexgc(3y)32.95%
ROICexgc(5y)32.33%
ROCE(3y)23.2%
ROCE(5y)23.67%
ROICexcg growth 3Y-7.42%
ROICexcg growth 5Y-1.65%
ROICexc growth 3Y-7.1%
ROICexc growth 5Y-1.51%
OM growth 3Y0.24%
OM growth 5Y2.69%
PM growth 3Y0.1%
PM growth 5Y2.64%
GM growth 3Y0.78%
GM growth 5Y2.4%
F-Score8
Asset Turnover0.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 1.24 | ||
| Debt/EBITDA | 0.54 | ||
| Cap/Depr | 120.08% | ||
| Cap/Sales | 29.12% | ||
| Interest Coverage | 61.52 | ||
| Cash Conversion | 88.95% | ||
| Profit Quality | 79.88% | ||
| Current Ratio | 2.57 | ||
| Quick Ratio | 2.3 | ||
| Altman-Z | N/A |
F-Score8
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)209.84%
Cap/Depr(5y)189.81%
Cap/Sales(3y)48.59%
Cap/Sales(5y)45.65%
Profit Quality(3y)43.23%
Profit Quality(5y)46.17%
High Growth Momentum
Growth
EPS 1Y (TTM)15.82%
EPS 3Y17.43%
EPS 5Y19%
EPS Q2Q%54.04%
EPS Next Y40.58%
EPS Next 2Y34.92%
EPS Next 3Y29.19%
EPS Next 5Y17%
Revenue 1Y (TTM)22.65%
Revenue growth 3Y17.3%
Revenue growth 5Y15.95%
Sales Q2Q%38.95%
Revenue Next Year32.78%
Revenue Next 2Y29.06%
Revenue Next 3Y24.5%
Revenue Next 5Y15.25%
EBIT growth 1Y17.26%
EBIT growth 3Y17.59%
EBIT growth 5Y19.07%
EBIT Next Year112.45%
EBIT Next 3Y47.67%
EBIT Next 5Y26.92%
FCF growth 1Y61.94%
FCF growth 3Y-2.14%
FCF growth 5Y2.67%
OCF growth 1Y6.58%
OCF growth 3Y14.72%
OCF growth 5Y16.69%