WallStSmart

CEVA Inc (CEVA)vsTaiwan Semiconductor Manufacturing (TSM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Taiwan Semiconductor Manufacturing generates 3836775% more annual revenue ($4.44T vs $115.73M). TSM leads profitability with a 49.9% profit margin vs -9.5%. TSM appears more attractively valued with a PEG of 0.79. TSM earns a higher WallStSmart Score of 86/100 (A).

CEVA

Hold

44

out of 100

Grade: D

Growth: 6.0Profit: 2.0Value: 5.7Quality: 8.5
Piotroski: 3/9Altman Z: 4.93

TSM

Exceptional Buy

86

out of 100

Grade: A

Growth: 9.3Profit: 10.0Value: 7.3Quality: 9.0
Piotroski: 6/9Altman Z: 3.85
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CEVAUndervalued (+26.9%)

Margin of Safety

+26.9%

Fair Value

$32.41

Current Price

$27.78

$4.63 discount

UndervaluedFair: $32.41Overvalued
TSMUndervalued (+50.6%)

Margin of Safety

+50.6%

Fair Value

$889.36

Current Price

$418.01

$471.35 discount

UndervaluedFair: $889.36Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CEVA4 strengths · Avg: 9.5/10
EPS GrowthGrowth
95.9%10/10

Earnings expanding 95.9% YoY

Debt/EquityHealth
0.0510/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.9310/10

Safe zone — low bankruptcy risk

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

TSM6 strengths · Avg: 10.0/10
Market CapQuality
$2.22T10/10

Mega-cap, among the largest globally

Return on EquityProfitability
34.9%10/10

Every $100 of equity generates 35 in profit

Profit MarginProfitability
49.9%10/10

Keeps 50 of every $100 in revenue as profit

Operating MarginProfitability
60.3%10/10

Strong operational efficiency at 60.3%

Revenue GrowthGrowth
36.0%10/10

Revenue surging 36.0% year-over-year

EPS GrowthGrowth
77.4%10/10

Earnings expanding 77.4% YoY

Areas to Watch

CEVA4 concerns · Avg: 3.0/10
PEG RatioValuation
2.074/10

Expensive relative to growth rate

Market CapQuality
$816.75M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Return on EquityProfitability
-3.2%2/10

ROE of -3.2% — below average capital efficiency

TSM2 concerns · Avg: 3.0/10
P/E RatioValuation
31.8x4/10

Premium valuation, high expectations priced in

Price/BookValuation
85.5x2/10

Trading at 85.5x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : CEVA

The strongest argument for CEVA centers on EPS Growth, Debt/Equity, Altman Z-Score. Revenue growth of 13.1% demonstrates continued momentum.

Bull Case : TSM

The strongest argument for TSM centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 49.9% and operating margin at 60.3%. Revenue growth of 36.0% demonstrates continued momentum.

Bear Case : CEVA

The primary concerns for CEVA are PEG Ratio, Market Cap, Piotroski F-Score.

Bear Case : TSM

The primary concerns for TSM are P/E Ratio, Price/Book.

Key Dynamics to Monitor

CEVA profiles as a turnaround stock while TSM is a growth play — different risk/reward profiles.

CEVA carries more volatility with a beta of 1.98 — expect wider price swings.

TSM is growing revenue faster at 36.0% — sustainability is the question.

TSM generates stronger free cash flow (287.4B), providing more financial flexibility.

Bottom Line

TSM scores higher overall (86/100 vs 44/100), backed by strong 49.9% margins and 36.0% revenue growth. CEVA offers better value entry with a 26.9% margin of safety. Both earn "Exceptional Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

CEVA Inc

TECHNOLOGY · SEMICONDUCTORS · USA

CEVA Inc is a prominent licensor of advanced signal processing and artificial intelligence technologies, catering to key sectors including mobile, automotive, and the Internet of Things (IoT). The company specializes in providing state-of-the-art digital signal processing (DSP) cores and comprehensive software solutions that enhance capabilities in audio processing, voice recognition, and computer vision. With a commitment to innovation and a robust intellectual property portfolio, CEVA is strategically positioned to leverage the increasing demand for efficient AI solutions in an interconnected landscape. Its extensive partnerships and collaborations further bolster its market presence, establishing CEVA as a critical contributor to the semiconductor industry.

Visit Website →

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 →

Want to dig deeper into these stocks?