QCOM vs TSM: Which Is the Better Buy?
Side-by-side comparison of QUALCOMM Incorporated and Taiwan Semiconductor Manufacturing Company Limited — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-04-20.
QUALCOMM Incorporated · Technology
$134.47
+45.0% upside to fair value
Med Conviction
Grade B
VS
Taiwan Semiconductor Manufacturing Company Limited · Technology
$366.24
+45.0% upside to fair value
Grade C
High Quality
QuantHub Verdict
QCOM trades at a lower forward P/E
(26.8x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
QCOM |
TSM |
| Current Price |
$134.47 |
$366.24 |
| Fair Value Estimate |
$194.98 |
$531.05 |
| Upside to Fair Value |
+45.0%
|
+45.0%
|
| Market Cap |
$143.6B |
$1,899.5B |
| Forward P/E |
26.8x
|
27.2x
|
| EV / EBITDA |
—
|
17.3x
|
| Price / Sales |
3.2x
|
12.8x
|
| Price / FCF |
11.1x
|
51.6x
|
| Revenue Growth YoY |
+8.7%
|
+36.5%
|
| Gross Margin |
55.1%
|
61.9%
|
| Operating Margin |
27.1%
|
53.2%
|
| Return on Equity |
21.6%
|
36.9%
|
| Dividend Yield |
— |
0% |
| FCF Yield |
9.0%
|
1.94%
|
| Analyst Consensus |
Hold
|
Strong Buy
|
Investment Thesis
Qualcomm Incorporated is a leading semiconductor company specializing in wireless chipsets and IP licensing, with dominant positions in 5G modems via QCT (87% of revenue) and steady QTL royalties. The business excels through a vast patent moat, diversification into automotive and IoT, and robust growth (revenue +13% YoY to $44B in FY2025), but faces risks from Apple modem shifts and China exposur…
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 |
QCOM |
TSM |
| Zone Low |
$146.23 |
$398.29 |
| Zone High |
$165.73 |
$451.39 |
| In Buy Zone? |
Yes
|
Yes
|