TSMC (TSM) Fundamental Analysis: Revenue, Earnings & Valuation

6.09 / 10

Outperform

TSM's fundamental score of 6.1/10 reflects constructive quality, driven by strong asset-to-market value, interest-coverage ratio, and profit growth. Key metrics such as PB-ROE (-0.8451) place it in performance group 4, historically yielding 9.15% monthly returns. Revenue-MV (-0.8294) and Profit-MV (4.4514) sit in groups 1 and 3, respectively, supporting long-term growth. Net cash flow from operating activities is expanding YoY by 24.58%, underscoring healthy liquidity. These factors collectively suggest a favorable fundamental backdrop despite some mixed valuation signals.

Analysis Checks(10/10)

Revenue-MV

Value-0.83

Score2/3

Weight7.14%

1M Return5.06%

Net cash flow from operating activities per share (YoY growth rate %)

Value24.58

Score2/3

Weight2.98%

1M Return2.33%

Net profit attributable to parent company shareholders / Net profit (%)

Value100.14

Score2/3

Weight4.07%

1M Return2.99%

Profit-MV

Value4.45

Score2/3

Weight10.87%

1M Return7.30%

Net income-Revenue

Value1.82

Score3/3

Weight13.51%

1M Return8.05%

PB-ROE

Value-0.85

Score3/3

Weight15.16%

1M Return9.15%

Cash-UP

Value0.69

Score3/3

Weight8.16%

1M Return5.57%

Interest coverage ratio (EBIT / Interest expense) (%)

Value44.38

Score2/3

Weight2.28%

1M Return1.80%

Asset-MV

Value-0.53

Score2/3

Weight14.99%

1M Return9.49%

Cash-MV

Value0.38

Score3/3

Weight20.83%

1M Return11.21%

Is TSM fundamentally strong?

TSM scores 6.09/10 on fundamentals and holds a Discounted valuation at present. Backed by its 35.11% ROE, 45.03% net margin, 33.04 P/E ratio, 10.39 P/B ratio, and 53.04% earnings growth, these metrics solidify its Outperform investment rating.