Silicom (SILC)vsTaiwan Semiconductor Manufacturing (TSM)
SILC
Silicom
$44.16
+5.14%
TECHNOLOGY · Cap: $230.48M
TSM
Taiwan Semiconductor Manufacturing
$439.51
-1.79%
TECHNOLOGY · Cap: $2.27T
Smart Verdict
WallStSmart Research — data-driven comparison
Taiwan Semiconductor Manufacturing generates 6555752% more annual revenue ($4.94T vs $75.43M). TSM leads profitability with a 51.1% profit margin vs -13.0%. TSM appears more attractively valued with a PEG of 0.77. TSM earns a higher WallStSmart Score of 86/100 (A).
SILC
Hold42
out of 100
Grade: D
TSM
Exceptional Buy86
out of 100
Grade: A
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+39.8%
Fair Value
$31.75
Current Price
$44.16
$12.41 discount
Margin of Safety
+55.1%
Fair Value
$979.05
Current Price
$439.51
$539.54 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 58.5% year-over-year
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Reasonable price relative to book value
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
Smaller company, higher risk/reward
ROE of -9.2% — below average capital efficiency
Earnings declined 79.6%
Currently unprofitable
Moderate valuation
Trading at 83.9x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : SILC
The strongest argument for SILC centers on Revenue Growth, Debt/Equity, Altman Z-Score. Revenue growth of 58.5% demonstrates continued momentum. PEG of 1.41 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 51.1% and operating margin at 58.7%. Revenue growth of 50.9% demonstrates continued momentum.
Bear Case : SILC
The primary concerns for SILC are Market Cap, Return on Equity, EPS Growth.
Bear Case : TSM
The primary concerns for TSM are P/E Ratio, Price/Book.
Key Dynamics to Monitor
SILC profiles as a hypergrowth stock while TSM is a growth play — different risk/reward profiles.
SILC carries more volatility with a beta of 1.57 — expect wider price swings.
SILC is growing revenue faster at 58.5% — sustainability is the question.
Monitor COMMUNICATION EQUIPMENT industry trends, competitive dynamics, and regulatory changes.
Bottom Line
TSM scores higher overall (86/100 vs 42/100), backed by strong 51.1% margins and 50.9% revenue growth. SILC offers better value entry with a 39.8% 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.
Silicom
TECHNOLOGY · COMMUNICATION EQUIPMENT · USA
Silicom Ltd. designs, manufactures, markets and supports network and data infrastructure solutions for a variety of servers, server-based systems, and communications devices in North America, Europe, and Asia Pacific. The company is headquartered in Kfar Sava, Israel.
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 COMMUNICATION EQUIPMENT Stocks
Want to dig deeper into these stocks?