WallStSmart

Celestica Inc. (CLS)vsTaiwan Semiconductor Manufacturing (TSM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Taiwan Semiconductor Manufacturing generates 28375% more annual revenue ($4.44T vs $15.59B). TSM leads profitability with a 49.9% profit margin vs 7.2%. TSM appears more attractively valued with a PEG of 0.79. TSM earns a higher WallStSmart Score of 86/100 (A).

CLS

Strong Buy

67

out of 100

Grade: B-

Growth: 10.0Profit: 7.0Value: 5.7Quality: 7.0
Piotroski: 6/9Altman Z: 2.87

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

Intrinsic value data unavailable for CLS.

TSMUndervalued (+50.6%)

Margin of Safety

+50.6%

Fair Value

$889.36

Current Price

$433.24

$456.12 discount

UndervaluedFair: $889.36Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CLS4 strengths · Avg: 9.5/10
Return on EquityProfitability
45.1%10/10

Every $100 of equity generates 45 in profit

Revenue GrowthGrowth
62.4%10/10

Revenue surging 62.4% year-over-year

EPS GrowthGrowth
74.2%10/10

Earnings expanding 74.2% YoY

PEG RatioValuation
1.008/10

Growing faster than its price suggests

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

CLS3 concerns · Avg: 3.7/10
P/E RatioValuation
32.5x4/10

Premium valuation, high expectations priced in

Price/BookValuation
14.7x4/10

Trading at 14.7x book value

Profit MarginProfitability
7.2%3/10

7.2% margin — thin

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

Premium valuation, high expectations priced in

Price/BookValuation
88.6x2/10

Trading at 88.6x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : CLS

The strongest argument for CLS centers on Return on Equity, Revenue Growth, EPS Growth. Revenue growth of 62.4% demonstrates continued momentum. PEG of 1.00 suggests the stock is reasonably priced for its growth.

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 : CLS

The primary concerns for CLS are P/E Ratio, Price/Book, Profit Margin.

Bear Case : TSM

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

Key Dynamics to Monitor

CLS profiles as a hypergrowth stock while TSM is a growth play — different risk/reward profiles.

CLS carries more volatility with a beta of 1.46 — expect wider price swings.

CLS is growing revenue faster at 62.4% — 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 67/100), backed by strong 49.9% margins and 36.0% revenue growth. 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.

Celestica Inc.

TECHNOLOGY · ELECTRONIC COMPONENTS · USA

Celestica Inc. provides hardware platforms and supply chain solutions in North America, Europe, and Asia. The company is headquartered in Toronto, Canada.

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.

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