SMCI vs TSM: Which Is the Better Buy?
Side-by-side comparison of Super Micro Computer, Inc. and Taiwan Semiconductor Manufacturing Company Limited — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-26.
Super Micro Computer, Inc. · Technology
$43.26
-4.2% upside to fair value
Med Conviction
Grade C
VS
Taiwan Semiconductor Manufacturing Company Limited · Technology
$452.00
+13.9% upside to fair value
Med Conviction
Grade B
High Quality
QuantHub Verdict
TSM has more upside to fair value
(+13.9%).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
SMCI |
TSM |
| Current Price |
$43.26 |
$452.00 |
| Fair Value Estimate |
$41.44 |
$515.00 |
| Upside to Fair Value |
-4.2%
|
+13.9%
|
| Market Cap |
$28.0B |
$2,344.3B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
8.9x
|
19.2x
|
| Price / Sales |
0.7x
|
0.5x
|
| Price / FCF |
—
|
2.1x
|
| Revenue Growth YoY |
+93.2%
|
+36.0%
|
| Gross Margin |
10.8%
|
64.2%
|
| Operating Margin |
7.1%
|
56.0%
|
| Return on Equity |
25.1%
|
39.3%
|
| Dividend Yield |
0% |
0.96% |
| FCF Yield |
—
|
47.62%
|
| Analyst Consensus |
Hold
|
Buy
|
Investment Thesis
Super Micro Computer designs and sells modular, open-standard server and storage systems, with a growing franchise in liquid- and air-cooled AI racks such as the NVIDIA Vera Rubin NVL72, sold through direct, distribution and OEM channels to data center, cloud, AI, 5G and edge customers. The business quality is mixed: revenue grew 93.2% year over year and earnings grew 503.7% in the most recent qu…
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 |
SMCI |
TSM |
| Zone Low |
$31.08 |
$386.25 |
| Zone High |
$35.22 |
$437.75 |
| In Buy Zone? |
No
|
No
|