TSM vs V: Which Is the Better Buy?
Side-by-side comparison of Taiwan Semiconductor Manufacturing Company Limited and Visa Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-04-11.
Taiwan Semiconductor Manufacturing Company Limited · Technology
$365.90
-3.8% upside to fair value
Med Conviction
Grade B+
VS
Visa Inc. · Financial Services
$304.36
+37.7% upside to fair value
High Conviction
Grade A-
QuantHub Verdict
V has more upside to fair value
(+37.7%).
V trades at a lower forward P/E
(23.7x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
TSM |
V |
| Current Price |
$365.90 |
$304.36 |
| Fair Value Estimate |
$352.00 |
$419.00 |
| Upside to Fair Value |
-3.8%
|
+37.7%
|
| Market Cap |
$1,897.7B |
$586.8B |
| Forward P/E |
26.0x
|
23.7x
|
| EV / EBITDA |
18.1x
|
22.3x
|
| Price / Sales |
13.3x
|
14.2x
|
| Price / FCF |
54.0x
|
25.6x
|
| Revenue Growth YoY |
+33.0%
|
+11.3%
|
| Gross Margin |
59.9%
|
81.08%
|
| Operating Margin |
50.8%
|
59.18%
|
| Return on Equity |
35.1%
|
54.22%
|
| Dividend Yield |
1.05% |
0.83% |
| FCF Yield |
1.85%
|
3.91%
|
| Analyst Consensus |
Strong Buy
|
Strong Buy
|
Investment Thesis
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…
Visa is the world's dominant payment network with $40B in net revenue (FY2025), 50%+ net margins, and a capital-light toll-booth model processing $14.2T in annual payment volume across 257.5B transactions. The business compounds at 10-12% revenue CAGR with operating leverage pushing EPS growth to 12-15% over a cycle, funded by $21.6B in annual free cash flow against only $1.5B in capex. At 28.0x …
Accumulation Zones
| Metric |
TSM |
V |
| Zone Low |
$265.00 |
$265.00 |
| Zone High |
$310.00 |
$300.00 |
| In Buy Zone? |
No
|
No
|