AVGO vs TSM: Which Is the Better Buy?
Side-by-side comparison of Broadcom Inc. and Taiwan Semiconductor Manufacturing Company Limited — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-24.
Broadcom Inc. · Technology
$354.99
+15.1% upside to fair value
Med Conviction
Grade B
High Quality
VS
Taiwan Semiconductor Manufacturing Company Limited · Technology
$452.00
+13.9% upside to fair value
Med Conviction
Grade B
High Quality
QuantHub Verdict
AVGO has more upside to fair value
(+15.1%).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
AVGO |
TSM |
| Current Price |
$354.99 |
$452.00 |
| Fair Value Estimate |
$408.70 |
$515.00 |
| Upside to Fair Value |
+15.1%
|
+13.9%
|
| Market Cap |
$1,688.9B |
$2,344.3B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
33.0x
|
19.2x
|
| Price / Sales |
18.9x
|
0.5x
|
| Price / FCF |
42.9x
|
2.1x
|
| Revenue Growth YoY |
+85.5%
|
+36.0%
|
| Gross Margin |
67.7%
|
64.2%
|
| Operating Margin |
48.3%
|
56.0%
|
| Return on Equity |
43.9%
|
39.3%
|
| Dividend Yield |
0.73% |
0.96% |
| FCF Yield |
2.33%
|
47.62%
|
| Analyst Consensus |
Strong Buy
|
Buy
|
Investment Thesis
Broadcom is a diversified semiconductor and infrastructure software company led by CEO Hock Tan, with a portfolio spanning custom AI ASICs, networking, wireless, storage, and enterprise software. The business quality is high: TTM gross margin of 67.7%, TTM operating margin of 48.3%, TTM net margin of 42.9%, and ROE of 43.9% demonstrate exceptional profitability, while revenue growth of 85.5% and …
Taiwan Semiconductor Manufacturing Company is the world's largest contract chipmaker, manufacturing advanced logic, mixed-signal, RF, and embedded memory wafers for high-performance computing, smartphones, IoT, and automotive customers from a base of 65,152 employees headquartered in Hsinchu, Taiwan. The business quality is exceptionally high: TTM gross margin is 64.2%, TTM operating margin is 56…
Accumulation Zones
| Metric |
AVGO |
TSM |
| Zone Low |
$306.52 |
$386.25 |
| Zone High |
$347.39 |
$437.75 |
| In Buy Zone? |
No
|
No
|