TAIWAN SEMICONDUCTOR-SP ADR (TSM)
US8740391003 - ADR
Overall TSM gets a fundamental rating of 5 out of 10. We evaluated TSM against 107 industry peers in the Semiconductors & Semiconductor Equipment industry. While TSM has a great profitability rating, there are some minor concerns on its financial health. While showing a medium growth rate, TSM is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past 5 years TSM has always been profitable.
Each year in the past 5 years TSM had a positive operating cash flow.
1.2 Ratios
TSM's Return On Assets of 15.16% is amongst the best of the industry. TSM outperforms 86.79% of its industry peers.
With an excellent Return On Equity value of 24.24%, TSM belongs to the best of the industry, outperforming 84.91% of the companies in the same industry.
TSM's Return On Invested Capital of 17.40% is amongst the best of the industry. TSM outperforms 88.68% of its industry peers.
TSM had an Average Return On Invested Capital over the past 3 years of 20.00%. This is significantly above the industry average of 11.07%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.16% | ||
| ROE | 24.24% | ||
| ROIC | 17.4% |
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
The Profit Margin of TSM (38.79%) is better than 97.17% of its industry peers.
In the last couple of years the Profit Margin of TSM has grown nicely.
TSM's Operating Margin of 42.63% is amongst the best of the industry. TSM outperforms 98.11% of its industry peers.
In the last couple of years the Operating Margin of TSM has grown nicely.
With a decent Gross Margin value of 54.36%, TSM is doing good in the industry, outperforming 68.87% of the companies in the same industry.
TSM's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 42.63% | ||
| PM (TTM) | 38.79% | ||
| GM | 54.36% |
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
The number of shares outstanding for TSM remains at a similar level compared to 1 year ago.
The number of shares outstanding for TSM remains at a similar level compared to 5 years ago.
Compared to 1 year ago, TSM has an improved debt to assets ratio.
2.2 Solvency
TSM has a debt to FCF ratio of 3.35. This is a good value and a sign of high solvency as TSM would need 3.35 years to pay back of all of its debts.
TSM has a better Debt to FCF ratio (3.35) than 62.26% of its industry peers.
A Debt/Equity ratio of 0.27 indicates that TSM is not too dependend on debt financing.
TSM's Debt to Equity ratio of 0.27 is in line compared to the rest of the industry. TSM outperforms 41.51% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 3.35 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 2.40 indicates that TSM has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.40, TSM is doing worse than 63.21% of the companies in the same industry.
TSM has a Quick Ratio of 2.13. This indicates that TSM is financially healthy and has no problem in meeting its short term obligations.
TSM has a Quick ratio (2.13) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.4 | ||
| Quick Ratio | 2.13 |
3. Growth
3.1 Past
TSM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -17.50%.
TSM shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 19.00% yearly.
TSM shows a decrease in Revenue. In the last year, the revenue decreased by -4.51%.
Measured over the past years, TSM shows a quite strong growth in Revenue. The Revenue has been growing by 15.95% on average per year.
EPS 1Y (TTM)-17.5%
EPS 3Y17.43%
EPS 5Y19%
EPS growth Q2Q-19.28%
Revenue 1Y (TTM)-4.51%
Revenue growth 3Y17.3%
Revenue growth 5Y15.95%
Revenue growth Q2Q0%
3.2 Future
Based on estimates for the next years, TSM will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.94% on average per year.
Based on estimates for the next years, TSM will show a quite strong growth in Revenue. The Revenue will grow by 12.70% on average per year.
EPS Next Y21.29%
EPS Next 2Y22.57%
EPS Next 3Y20.04%
EPS Next 5Y10.94%
Revenue Next Year23.84%
Revenue Next 2Y21.59%
Revenue Next 3Y14.29%
Revenue Next 5Y12.7%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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.
A more expensive valuation may be justified as TSM's earnings are expected to grow with 20.04% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y22.57%
EPS Next 3Y20.04%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.73%, TSM has a reasonable but not impressive dividend return.
TSM's Dividend Yield is rather good when compared to the industry average which is at 2.09. TSM pays more dividend than 86.79% of the companies in the same industry.
Compared to the average S&P500 Dividend Yield of 2.45, TSM is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.73% |
5.2 History
The dividend of TSM is nicely growing with an annual growth rate of 7.06%!
TSM has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)7.06%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
34.79% of the earnings are spent on dividend by TSM. This is a low number and sustainable payout ratio.
The dividend of TSM is growing, but earnings are growing more, so the dividend growth is sustainable.
DP34.79%
EPS Next 2Y22.57%
EPS Next 3Y20.04%
TAIWAN SEMICONDUCTOR-SP ADR
NYSE:TSM (4/22/2024, 7:04:00 PM)
After market: 129.68 -0.07 (-0.05%)129.75
+2.05 (+1.61%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap673.01B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.73% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.16% | ||
| ROE | 24.24% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 42.63% | ||
| PM (TTM) | 38.79% | ||
| GM | 54.36% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.4 | ||
| Quick Ratio | 2.13 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-17.5%
EPS 3Y17.43%
EPS 5Y
EPS growth Q2Q
EPS Next Y21.29%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-4.51%
Revenue growth 3Y17.3%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y