TSM vs VRT: Which Is the Better Buy?
Side-by-side comparison of Taiwan Semiconductor Manufacturing Company Limited and Vertiv Holdings Co — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-07-17.
Taiwan Semiconductor Manufacturing Company Limited · Technology
$409.74
+45.0% upside to fair value
Grade C
High Quality
VS
Vertiv Holdings Co · Industrials
$333.05
-45.0% upside to fair value
Grade D
High Quality
QuantHub Verdict
TSM has more upside to fair value
(+45.0%).
TSM trades at a lower forward P/E
(38.8x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
TSM |
VRT |
| Current Price |
$409.74 |
$333.05 |
| Fair Value Estimate |
$594.12 |
$183.18 |
| Upside to Fair Value |
+45.0%
|
-45.0%
|
| Market Cap |
$2,125.1B |
$127.9B |
| Forward P/E |
38.8x
|
81.8x
|
| EV / EBITDA |
17.6x
|
55.4x
|
| Price / Sales |
14.5x
|
11.8x
|
| Price / FCF |
58.4x
|
55.4x
|
| Revenue Growth YoY |
+36.0%
|
+30.1%
|
| Gross Margin |
61.9%
|
36.2%
|
| Operating Margin |
53.2%
|
18.5%
|
| Return on Equity |
36.9%
|
42.1%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
1.71%
|
1.81%
|
| Analyst Consensus |
Strong Buy
|
Strong Buy
|
Investment Thesis
Taiwan Semiconductor Manufacturing Company Limited (TSM) is a leading semiconductor foundry specializing in advanced chip manufacturing technologies. The company exhibits high business quality with a durable competitive moat driven by cost advantages, intangible assets, and strong brand recognition. It demonstrates robust profitability with a net margin of 47.0% and a return on equity of 36.9%. R…
Vertiv Holdings Co operates in the industrials sector, specializing in electrical equipment and parts with a strong focus on data center critical infrastructure. The company benefits from a durable competitive position supported by a broad product portfolio that drives approximately 75% of sales from data centers. Vertiv's business quality is high, demonstrated by a 42.1% return on equity, strong…
Accumulation Zones
| Metric |
TSM |
VRT |
| Zone Low |
$445.59 |
$137.38 |
| Zone High |
$505.00 |
$155.70 |
| In Buy Zone? |
Yes
|
No
|