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ANET vs. TSM: A Head-to-Head Stock Comparison

Updated

Here’s a clear look at ANET and TSM, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.

Company Overview

TSM towers over ANET with a market cap of 994.57 billion USD, roughly 8.57 times the 116.08 billion USD of its peer.

ANET at 1.39 and TSM at 1.32 move in sync when it comes to market volatility.

Quick note: TSM sports an ADR tag, marking it as a foreign player on U.S. exchanges, unlike the homegrown ANET.

SymbolANETTSM
Company NameArista Networks, Inc.Taiwan Semiconductor Manufacturing Company Limited
CountryUSTW
SectorTechnologyTechnology
IndustryComputer HardwareSemiconductors
CEOMs. Jayshree V. UllalDr. C. C. Wei Ph.D.
Price92.43 USD191.76 USD
Market Cap116.08 billion USD994.57 billion USD
Beta1.3871.321
ExchangeNYSENYSE
IPO DateJune 6, 2014October 9, 1997
ADRNoYes

Performance Comparison

This chart compares the performance of ANET and TSM over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Hover over the lines to see the investment’s value and total return (%) at specific dates.

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

For a detailed comparison of valuation metrics between ANET and TSM, please refer to the table below.

SymbolANETTSM
Price-to-Earnings Ratio (P/E, TTM)38.4619.45
Forward PEG Ratio (TTM)2.111.10
Price-to-Sales Ratio (P/S, TTM)15.618.11
Price-to-Book Ratio (P/B, TTM)11.515.54
Price-to-Free Cash Flow Ratio (P/FCF, TTM)30.6727.60
EV-to-EBITDA (TTM)35.6610.81
EV-to-Sales (TTM)15.367.56
EV-to-Free Cash Flow (TTM)30.1825.74

Dividend Comparison

ANET pays no dividends, focusing all profits on growth, appealing to capital-gains investors. Meanwhile, TSM’s 1.63% yield rewards shareholders, showing financial confidence while supporting objectives—a contrast to ANET’s growth-only approach.

SymbolANETTSM
Dividend Yield (TTM)0.00%1.63%

Financial Strength Metrics Comparison

This section dives into the financial resilience of ANET and TSM, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

  • ANET posts an interest coverage of “--”, hinting at interest costs so low they’re negligible—often from scant debt or dirt-cheap rates—while TSM at 280.65 handles interest with solid earnings.
SymbolANETTSM
Current Ratio (TTM)3.932.39
Quick Ratio (TTM)3.312.18
Debt-to-Equity Ratio (TTM)0.000.21
Debt-to-Assets Ratio (TTM)0.000.14
Interest Coverage Ratio (TTM)--280.65