SBUX vs TSM: Which Is the Better Buy?
Side-by-side comparison of Starbucks Corporation and Taiwan Semiconductor Manufacturing Company Limited — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-04-11.
Starbucks Corporation · Consumer Cyclical
$96.60
+19.0% upside to fair value
Med Conviction
Grade B+
VS
Taiwan Semiconductor Manufacturing Company Limited · Technology
$365.90
-3.8% upside to fair value
Med Conviction
Grade B+
QuantHub Verdict
SBUX has more upside to fair value
(+19.0%).
TSM trades at a lower forward P/E
(26.0x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
SBUX |
TSM |
| Current Price |
$96.60 |
$365.90 |
| Fair Value Estimate |
$115.00 |
$352.00 |
| Upside to Fair Value |
+19.0%
|
-3.8%
|
| Market Cap |
$110.1B |
$1,897.7B |
| Forward P/E |
42.2x
|
26.0x
|
| EV / EBITDA |
22.5x
|
18.1x
|
| Price / Sales |
3.0x
|
13.3x
|
| Price / FCF |
45.1x
|
54.0x
|
| Revenue Growth YoY |
+2.8%
|
+33.0%
|
| Gross Margin |
24.2%
|
59.9%
|
| Operating Margin |
9.6%
|
50.8%
|
| Return on Equity |
-22.9%
|
35.1%
|
| Dividend Yield |
2.55% |
1.05% |
| FCF Yield |
2.2%
|
1.85%
|
| Analyst Consensus |
Hold
|
Strong Buy
|
Investment Thesis
Starbucks is the world's largest specialty coffee retailer with over 39,000 stores across 86 markets, generating $37.2B in annual revenue. Under CEO Brian Niccol, now 19 months into his tenure after joining from Chipotle in September 2024, the company is executing the Back to Starbucks operational turnaround focused on service speed, menu simplification, and store experience reinvention. At P/S 2…
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 |
SBUX |
TSM |
| Zone Low |
$88.00 |
$265.00 |
| Zone High |
$98.00 |
$310.00 |
| In Buy Zone? |
Yes
|
No
|