Oracle Corporation (ORCL)vsTaiwan Semiconductor Manufacturing (TSM)
ORCL
Oracle Corporation
$116.01
+0.82%
TECHNOLOGY · Cap: $396.13B
TSM
Taiwan Semiconductor Manufacturing
$353.10
+6.33%
TECHNOLOGY · Cap: $2.27T
Smart Verdict
WallStSmart Research — data-driven comparison
Taiwan Semiconductor Manufacturing generates 6789% more annual revenue ($4.94T vs $71.78B). TSM leads profitability with a 51.1% profit margin vs 26.4%. ORCL appears more attractively valued with a PEG of 0.73. TSM earns a higher WallStSmart Score of 86/100 (A).
ORCL
Strong Buy78
out of 100
Grade: B+
TSM
Exceptional Buy86
out of 100
Grade: A
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-8.5%
Fair Value
$106.99
Current Price
$116.01
$9.02 premium
Margin of Safety
+55.1%
Fair Value
$979.05
Current Price
$353.10
$625.95 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Strong operational efficiency at 35.6%
Earnings expanding 54.5% YoY
Every $100 of equity generates 28 in profit
Keeps 26 of every $100 in revenue as profit
Growing faster than its price suggests
Mega-cap, among the largest globally
Every $100 of equity generates 37 in profit
Keeps 51 of every $100 in revenue as profit
Strong operational efficiency at 58.7%
Revenue surging 50.9% year-over-year
Earnings expanding 68.7% YoY
Areas to Watch
Weak financial health signals
Negative free cash flow — burning cash
Distress zone — elevated risk
Elevated debt levels
Moderate valuation
Trading at 67.4x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : ORCL
The strongest argument for ORCL centers on Market Cap, Operating Margin, EPS Growth. Profitability is solid with margins at 26.4% and operating margin at 35.6%. Revenue growth of 29.6% 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 51.1% and operating margin at 58.7%. Revenue growth of 50.9% demonstrates continued momentum.
Bear Case : ORCL
The primary concerns for ORCL are Piotroski F-Score, Free Cash Flow, Altman Z-Score. Debt-to-equity of 2.34 is elevated, increasing financial risk.
Bear Case : TSM
The primary concerns for TSM are P/E Ratio, Price/Book.
Key Dynamics to Monitor
ORCL carries more volatility with a beta of 1.77 — expect wider price swings.
TSM is growing revenue faster at 50.9% — sustainability is the question.
TSM generates stronger free cash flow (510.1B), providing more financial flexibility.
Monitor SOFTWARE - INFRASTRUCTURE industry trends, competitive dynamics, and regulatory changes.
Bottom Line
TSM scores higher overall (86/100 vs 78/100), backed by strong 51.1% margins and 50.9% 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.
Oracle Corporation
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Oracle is an American multinational computer technology corporation headquartered in Austin, Texas. The company was formerly headquartered in Redwood Shores, California until December 2020 when it moved its headquarters to Texas. The company sells database software and technology, cloud engineered systems, and enterprise software products, particularly its own brands of database management systems.
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 →Compare with Other SOFTWARE - INFRASTRUCTURE Stocks
Want to dig deeper into these stocks?