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TSM Valuation

Taiwan Semiconductor Manufacturing Co Ltd
$
234.600
-4.25(-1.779%)1D
  • Overview
  • Forecast
  • Valuation
  • Earnings

TSM Relative Valuation

TSM's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, TSM is overvalued; if below, it's undervalued.

Historical Valuation

Taiwan Semiconductor Manufacturing Co Ltd (TSM) is now in the Fair zone, suggesting that its current forward PE ratio of 19.13 is considered Fairly compared with the five-year average of 18.65. The fair price of Taiwan Semiconductor Manufacturing Co Ltd (TSM) is between 216.43 to 297.81 according to relative valuation methord.
Relative Value
Fair Zone
216.43-297.81
Current Price:234.60
Fair
P/E
EV/EBITDA
EV/EBIT
P/S
P/OCF
P/FCF
1Y
3Y
5Y
Trailing
Forward
6.40
P/B
Median3y
5.99
Median5y
6.49
3.20
FCF Yield
Median3y
3.00
Median5y
2.57

Competitors Valuation Multiple

The average P/S ratio for TSM's competitors is 9.68, providing a benchmark for relative valuation. Taiwan Semiconductor Manufacturing Co Ltd Corp (TSM) exhibits a P/S ratio of 7.87, which is -18.74% above the industry average. Given its robust revenue growth of 45.24%, this premium appears sustainable.

FAQ

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Is Taiwan Semiconductor Manufacturing Co Ltd (TSM) currently overvalued or undervalued?

Taiwan Semiconductor Manufacturing Co Ltd (TSM) is now in the Fair zone, suggesting that its current forward PE ratio of 19.13 is considered Fairly compared with the five-year average of 18.65. The fair price of Taiwan Semiconductor Manufacturing Co Ltd (TSM) is between 216.43 to 297.81 according to relative valuation methord.
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What is Taiwan Semiconductor Manufacturing Co Ltd (TSM) fair value?

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How does TSM's valuation metrics compare to the industry average?

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What is the current P/B ratio for Taiwan Semiconductor Manufacturing Co Ltd (TSM) as of Jul 23 2025?

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What is the current FCF Yield for Taiwan Semiconductor Manufacturing Co Ltd (TSM) as of Jul 23 2025?

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What is the current Forward P/E ratio for Taiwan Semiconductor Manufacturing Co Ltd (TSM) as of Jul 23 2025?

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What is the current Forward P/S ratio for Taiwan Semiconductor Manufacturing Co Ltd (TSM) as of Jul 23 2025?