Taiwan Semiconductor Manufacturing (TSM)vsWestern Digital Corporation (WDC)
TSM
Taiwan Semiconductor Manufacturing
$404.80
-2.24%
TECHNOLOGY · Cap: $2.27T
WDC
Western Digital Corporation
$323.83
-6.77%
TECHNOLOGY · Cap: $137.04B
Smart Verdict
WallStSmart Research — data-driven comparison
Taiwan Semiconductor Manufacturing generates 34045% more annual revenue ($4.94T vs $14.48B). WDC leads profitability with a 69.2% profit margin vs 51.1%. WDC appears more attractively valued with a PEG of 0.53. TSM earns a higher WallStSmart Score of 86/100 (A).
TSM
Exceptional Buy86
out of 100
Grade: A
WDC
Strong Buy79
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+55.1%
Fair Value
$979.05
Current Price
$404.80
$574.25 discount
Intrinsic value data unavailable for WDC.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Every $100 of equity generates 106 in profit
Keeps 69 of every $100 in revenue as profit
Strong operational efficiency at 47.7%
Revenue surging 55.5% year-over-year
Earnings expanding 50.9% YoY
Conservative balance sheet, low leverage
Areas to Watch
Moderate valuation
Trading at 77.3x book value
Trading at 13.0x book value
Comparative Analysis Report
WallStSmart ResearchBull 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.
Bull Case : WDC
The strongest argument for WDC centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 69.2% and operating margin at 47.7%. Revenue growth of 55.5% demonstrates continued momentum.
Bear Case : TSM
The primary concerns for TSM are P/E Ratio, Price/Book.
Bear Case : WDC
The primary concerns for WDC are Price/Book.
Key Dynamics to Monitor
WDC carries more volatility with a beta of 2.17 — expect wider price swings.
WDC is growing revenue faster at 55.5% — sustainability is the question.
TSM generates stronger free cash flow (510.1B), providing more financial flexibility.
Monitor SEMICONDUCTORS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
TSM scores higher overall (86/100 vs 79/100), 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.
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 →Western Digital Corporation
TECHNOLOGY · COMPUTER HARDWARE · USA
Western Digital Corporation (WDC, commonly known as Western Digital or WD) is an American computer hard disk drive manufacturer and data storage company, headquartered in San Jose, California. It designs, manufactures and sells data technology products, including storage devices, data center systems and cloud storage services.
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