Shoals Technologies Group Inc (SHLS)vsTaiwan Semiconductor Manufacturing (TSM)
SHLS
Shoals Technologies Group Inc
$7.34
-4.05%
TECHNOLOGY · Cap: $1.23B
TSM
Taiwan Semiconductor Manufacturing
$396.06
+0.57%
TECHNOLOGY · Cap: $2.04T
Smart Verdict
WallStSmart Research — data-driven comparison
Taiwan Semiconductor Manufacturing generates 863278% more annual revenue ($4.10T vs $475.33M). TSM leads profitability with a 46.5% profit margin vs 7.1%. SHLS appears more attractively valued with a PEG of 0.74. TSM earns a higher WallStSmart Score of 84/100 (A-).
SHLS
Strong Buy67
out of 100
Grade: B-
TSM
Exceptional Buy84
out of 100
Grade: A-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+54.4%
Fair Value
$21.46
Current Price
$7.34
$14.12 discount
Margin of Safety
+72.4%
Fair Value
$1399.41
Current Price
$396.06
$1003.35 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 38.6% year-over-year
Growing faster than its price suggests
Reasonable price relative to book value
Earnings expanding 21.0% YoY
Mega-cap, among the largest globally
Every $100 of equity generates 36 in profit
Keeps 47 of every $100 in revenue as profit
Strong operational efficiency at 58.1%
Revenue surging 35.1% year-over-year
Earnings expanding 58.4% YoY
Areas to Watch
Premium valuation, high expectations priced in
Smaller company, higher risk/reward
ROE of 5.8% — below average capital efficiency
7.1% margin — thin
Premium valuation, high expectations priced in
Trading at 60.6x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : SHLS
The strongest argument for SHLS centers on Revenue Growth, PEG Ratio, Price/Book. Revenue growth of 38.6% demonstrates continued momentum. PEG of 0.74 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 46.5% and operating margin at 58.1%. Revenue growth of 35.1% demonstrates continued momentum.
Bear Case : SHLS
The primary concerns for SHLS are P/E Ratio, Market Cap, Return on Equity.
Bear Case : TSM
The primary concerns for TSM are P/E Ratio, Price/Book.
Key Dynamics to Monitor
SHLS profiles as a hypergrowth stock while TSM is a growth play — different risk/reward profiles.
SHLS carries more volatility with a beta of 1.64 — expect wider price swings.
SHLS is growing revenue faster at 38.6% — sustainability is the question.
TSM generates stronger free cash flow (377.1B), providing more financial flexibility.
Bottom Line
TSM scores higher overall (84/100 vs 67/100), backed by strong 46.5% margins and 35.1% revenue growth. SHLS offers better value entry with a 54.4% margin of safety. 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.
Shoals Technologies Group Inc
TECHNOLOGY · SOLAR · USA
Shoals Technologies Group, Inc. provides Electric Balance System (EBOS) solutions for solar energy projects in the United States. The company is headquartered in Portland, Tennessee.
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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