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 2026-09-23.
Netflix, Inc. · Communication Services
$76.41
+44.0% upside to fair value
High Conviction
Grade A
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
NFLX has more upside to fair value
(+44.0%).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
NFLX |
TSM |
| Current Price |
$76.41 |
$452.00 |
| Fair Value Estimate |
$110.00 |
$515.00 |
| Upside to Fair Value |
+44.0%
|
+13.9%
|
| Market Cap |
$318.2B |
$2,344.3B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
10.6x
|
19.2x
|
| Price / Sales |
6.6x
|
0.5x
|
| Price / FCF |
29.1x
|
2.1x
|
| Revenue Growth YoY |
+13.4%
|
+36.0%
|
| Gross Margin |
49.1%
|
64.2%
|
| Operating Margin |
29.7%
|
56.0%
|
| Return on Equity |
48.0%
|
39.3%
|
| Dividend Yield |
0% |
0.96% |
| FCF Yield |
3.44%
|
47.62%
|
| Analyst Consensus |
Strong Buy
|
Buy
|
Investment Thesis
Netflix is a global subscription and advertising-supported entertainment platform with a high-quality brand, content engine, recommendation technology and distribution scale, evidenced by more than 97 billion viewing hours in the first half of 2026 and an audience approaching one billion people. Fundamentals remain strong: revenue grew 13.4% year over year in the most recent quarter, TTM gross, o…
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 |
NFLX |
TSM |
| Zone Low |
$82.50 |
$386.25 |
| Zone High |
$93.50 |
$437.75 |
| In Buy Zone? |
Yes
|
No
|