WallStSmart

Synnex Corporation (SNX)vsTaiwan Semiconductor Manufacturing (TSM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Taiwan Semiconductor Manufacturing generates 6265% more annual revenue ($4.44T vs $69.77B). TSM leads profitability with a 49.9% profit margin vs 1.6%. SNX appears more attractively valued with a PEG of 0.91. TSM earns a higher WallStSmart Score of 84/100 (A-).

SNX

Strong Buy

72

out of 100

Grade: B

Growth: 8.0Profit: 5.0Value: 8.7Quality: 6.0
Piotroski: 5/9Altman Z: 2.45

TSM

Exceptional Buy

84

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

SNXUndervalued (+35.5%)

Margin of Safety

+35.5%

Fair Value

$263.65

Current Price

$248.68

$14.97 discount

UndervaluedFair: $263.65Overvalued
TSMUndervalued (+56.3%)

Margin of Safety

+56.3%

Fair Value

$897.55

Current Price

$374.67

$522.88 discount

UndervaluedFair: $897.55Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

SNX5 strengths · Avg: 8.8/10
Revenue GrowthGrowth
31.0%10/10

Revenue surging 31.0% year-over-year

EPS GrowthGrowth
87.9%10/10

Earnings expanding 87.9% YoY

PEG RatioValuation
0.918/10

Growing faster than its price suggests

P/E RatioValuation
17.1x8/10

Attractively priced relative to earnings

Price/BookValuation
2.2x8/10

Reasonable price relative to book value

TSM6 strengths · Avg: 10.0/10
Market CapQuality
$2.07T10/10

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

SNX3 concerns · Avg: 2.7/10
Profit MarginProfitability
1.6%3/10

1.6% margin — thin

Operating MarginProfitability
2.7%3/10

Operating margin of 2.7%

Free Cash FlowQuality
$-332.43M2/10

Negative free cash flow — burning cash

TSM2 concerns · Avg: 3.0/10
P/E RatioValuation
29.8x4/10

Moderate valuation

Price/BookValuation
85.2x2/10

Trading at 85.2x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : SNX

The strongest argument for SNX centers on Revenue Growth, EPS Growth, PEG Ratio. Revenue growth of 31.0% demonstrates continued momentum. PEG of 0.91 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 : SNX

The primary concerns for SNX are Profit Margin, Operating Margin, Free Cash Flow. Thin 1.6% margins leave little buffer for downturns.

Bear Case : TSM

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

Key Dynamics to Monitor

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

SNX carries more volatility with a beta of 1.43 — 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 (84/100 vs 72/100), backed by strong 49.9% margins and 36.0% revenue growth. SNX offers better value entry with a 35.5% 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.

Synnex Corporation

TECHNOLOGY · ELECTRONICS & COMPUTER DISTRIBUTION · USA

SYNNEX Corporation provides business process services in the United States and internationally. The company is headquartered in Fremont, California.

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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