PYPL vs TSM: Which Is the Better Buy?
Side-by-side comparison of PayPal Holdings, Inc. and Taiwan Semiconductor Manufacturing Company Limited — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-05-05.
PayPal Holdings, Inc. · Financial Services
$50.39
+110.0% upside to fair value
Grade B
VS
Taiwan Semiconductor Manufacturing Company Limited · Technology
$366.24
+5153.7% upside to fair value
Grade C
High Quality
QuantHub Verdict
TSM has more upside to fair value
(+5153.7%).
PYPL trades at a lower forward P/E
(9.0x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
PYPL |
TSM |
| Current Price |
$50.39 |
$366.24 |
| Fair Value Estimate |
$105.84 |
$19,241.17 |
| Upside to Fair Value |
+110.0%
|
+5153.7%
|
| Market Cap |
$45.3B |
$1,899.5B |
| Forward P/E |
9.0x
|
27.2x
|
| EV / EBITDA |
6.1x
|
17.3x
|
| Price / Sales |
1.4x
|
12.8x
|
| Price / FCF |
8.2x
|
51.6x
|
| Revenue Growth YoY |
+3.7%
|
+36.5%
|
| Gross Margin |
46.6%
|
61.9%
|
| Operating Margin |
18.3%
|
53.2%
|
| Return on Equity |
25.9%
|
36.9%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
12.27%
|
1.94%
|
| Analyst Consensus |
Sell
|
Strong Buy
|
Investment Thesis
PayPal Holdings, Inc. operates as a leading digital payments platform offering transaction processing and value-added financial services such as consumer credit and BNPL products. The business quality is medium due to a narrowing competitive moat amid increasing pressure from big tech competitors and slowing growth in its core branded checkout segment. The stock is currently mispriced and cheap, …
Taiwan Semiconductor Manufacturing Company Limited (TSMC) is the world's leading pure-play semiconductor foundry, commanding approximately 60% of the global advanced node foundry market. The company benefits from a durable competitive moat driven by its pioneering foundry model, massive scale, advanced manufacturing capabilities, and strong customer relationships with major technology firms. TSMC…
Accumulation Zones
| Metric |
PYPL |
TSM |
| Zone Low |
$79.38 |
$14,430.88 |
| Zone High |
$89.96 |
$16,354.99 |
| In Buy Zone? |
Yes
|
Yes
|