GOOG vs TSM: Which Is the Better Buy?

Side-by-side comparison of Alphabet Inc. and Taiwan Semiconductor Manufacturing Company Limited — fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-04-18.
Alphabet Inc. · Communication Services
$339.40
-4.4% upside to fair value
Grade D High Quality
VS
Taiwan Semiconductor Manufacturing Company Limited · Technology
$365.90
-3.8% upside to fair value
Med Conviction Grade B+
QuantHub Verdict
TSM has more upside to fair value (-3.8%). TSM trades at a lower forward P/E (26.0x). These are model outputs — not personalized investment advice. See all research →
Valuation & Fundamentals
Metric GOOG TSM
Current Price $339.40 $365.90
Fair Value Estimate $324.34 $352.00
Upside to Fair Value -4.4% -3.8%
Market Cap $4,105.7B $1,897.7B
Forward P/E 31.2x 26.0x
EV / EBITDA 23.1x 18.1x
Price / Sales 10.3x 13.3x
Price / FCF 56.4x 54.0x
Revenue Growth YoY +11.3% +33.0%
Gross Margin 59.7% 59.9%
Operating Margin 32.0% 50.8%
Return on Equity 35.0% 35.1%
Dividend Yield 0% 1.05%
FCF Yield 1.77% 1.85%
Analyst Consensus Strong Buy Strong Buy
Investment Thesis
GOOG — Alphabet Inc.
Alphabet Inc. operates as a global leader in internet content, advertising, cloud computing, and AI technologies, with dominant market positions in search, browser, and mobile operating systems. The company benefits from a high-quality business model characterized by a durable competitive moat, strong revenue growth of 11.3% year-over-year, and robust profitability with net margins of 32.8%. Desp…
TSM — Taiwan Semiconductor Manufacturing Company Limited
TSMC remains the single most critical company in the global semiconductor supply chain, manufacturing virtually every leading-edge AI chip for NVIDIA, Apple, AMD, and the hyperscalers. The company delivered exceptional 2025 results with 33% revenue growth and 50% net income growth, driven by HPC surging to 55% of Q4 revenue. At the 3nm node, TSMC maintains production yields of 70-80% versus Samsu…
Accumulation Zones
Metric GOOG TSM
Zone Low $243.25 $265.00
Zone High $275.69 $310.00
In Buy Zone? No No
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