NFLX vs TSM: Which Is the Better Buy?
Side-by-side comparison of Netflix, Inc. and Taiwan Semiconductor Manufacturing Company Limited — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-06-20.
Netflix, Inc. · Communication Services
$77.38
+45.0% 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
NFLX trades at a lower forward P/E
(24.5x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
NFLX |
TSM |
| Current Price |
$77.38 |
$462.12 |
| Fair Value Estimate |
$112.20 |
$670.07 |
| Upside to Fair Value |
+45.0%
|
+45.0%
|
| Market Cap |
$325.8B |
$2,396.8B |
| Forward P/E |
24.5x
|
32.4x
|
| EV / EBITDA |
9.7x
|
20.5x
|
| Price / Sales |
7.0x
|
15.2x
|
| Price / FCF |
27.4x
|
61.4x
|
| Revenue Growth YoY |
+16.2%
|
+35.1%
|
| Gross Margin |
49.0%
|
61.9%
|
| Operating Margin |
29.7%
|
53.2%
|
| Return on Equity |
49.2%
|
36.9%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
3.65%
|
1.63%
|
| Analyst Consensus |
Strong Buy
|
Strong Buy
|
Investment Thesis
Netflix, Inc. operates a global streaming entertainment platform with a durable competitive moat driven by its massive scale, significant content investment, and advanced technology and data capabilities. The company benefits from strong revenue growth of 16.2% and earnings growth of 82.8% in the most recent quarter, supported by a subscriber base exceeding 300 million and expanding advertising r…
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 |
NFLX |
TSM |
| Zone Low |
$84.15 |
$502.55 |
| Zone High |
$95.37 |
$569.56 |
| In Buy Zone? |
Yes
|
Yes
|