DHR vs TSM: Which Is the Better Buy?

Side-by-side comparison of Danaher Corporation and Taiwan Semiconductor Manufacturing Company Limited — fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-06-20.
Danaher Corporation · Healthcare
$177.17
+8.9% upside to fair value
Grade B High Quality
VS
Taiwan Semiconductor Manufacturing Company Limited · Technology
$462.12
+45.0% upside to fair value
Grade C High Quality
QuantHub Verdict
TSM has more upside to fair value (+45.0%). TSM trades at a lower forward P/E (32.4x). These are model outputs — not personalized investment advice. See all research →
Valuation & Fundamentals
Metric DHR TSM
Current Price $177.17 $462.12
Fair Value Estimate $192.90 $670.07
Upside to Fair Value +8.9% +45.0%
Market Cap $125.4B $2,396.8B
Forward P/E 34.1x 32.4x
EV / EBITDA 20.8x 20.5x
Price / Sales 5.1x 15.2x
Price / FCF 23.7x 61.4x
Revenue Growth YoY +3.7% +35.1%
Gross Margin 60.7% 61.9%
Operating Margin 21.0% 53.2%
Return on Equity 7.1% 36.9%
Dividend Yield 0% 0%
FCF Yield 4.22% 1.63%
Analyst Consensus Strong Buy Strong Buy
Investment Thesis
DHR — Danaher Corporation
Danaher Corporation operates in the healthcare sector, specializing in medical diagnostics and research tools through three balanced platforms: Biotechnology, Life Sciences, and Diagnostics. The company benefits from a durable competitive moat supported by the Danaher Business System, disciplined capital allocation, and a platform-centric organizational structure. Despite modest revenue growth of…
TSM — Taiwan Semiconductor Manufacturing Company Limited
Taiwan Semiconductor Manufacturing Company Limited (TSMC) is the world's leading semiconductor foundry, commanding over 60-70% global market share in advanced process nodes. The company benefits from a very strong and widening moat driven by unmatched EUV-intensive capacity and a conservative, shareholder-friendly capital allocation strategy. TSMC's business quality is high, with robust profitabi…
Accumulation Zones
Metric DHR TSM
Zone Low $144.68 $502.55
Zone High $163.97 $569.56
In Buy Zone? No Yes
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