ASML vs. TSM: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at ASML 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 ASML with a market cap of 994.57 billion USD, roughly 3.43 times the 289.86 billion USD of its peer.
ASML at 1.22 and TSM at 1.32 move in sync when it comes to market volatility.
Heads up: ASML and TSM both roll as ADRs, bridging foreign companies to U.S. markets for a taste of global exposure.
| Symbol | ASML | TSM |
|---|---|---|
| Company Name | ASML Holding N.V. | Taiwan Semiconductor Manufacturing Company Limited |
| Country | NL | TW |
| Sector | Technology | Technology |
| Industry | Semiconductors | Semiconductors |
| CEO | Mr. Christophe D. Fouquet | Dr. C. C. Wei Ph.D. |
| Price | 737.17 USD | 191.76 USD |
| Market Cap | 289.86 billion USD | 994.57 billion USD |
| Beta | 1.221 | 1.321 |
| Exchange | NASDAQ | NYSE |
| IPO Date | March 15, 1995 | October 9, 1997 |
| ADR | Yes | Yes |
Performance Comparison
This chart compares the performance of ASML 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 ASML and TSM, please refer to the table below.
| Symbol | ASML | TSM |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 29.33 | 19.45 |
| Forward PEG Ratio (TTM) | 1.80 | 1.10 |
| Price-to-Sales Ratio (P/S, TTM) | 8.33 | 8.11 |
| Price-to-Book Ratio (P/B, TTM) | 14.58 | 5.54 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 27.56 | 27.60 |
| EV-to-EBITDA (TTM) | 21.78 | 10.81 |
| EV-to-Sales (TTM) | 8.15 | 7.56 |
| EV-to-Free Cash Flow (TTM) | 26.97 | 25.74 |
Dividend Comparison
Both ASML at 0.98% and TSM at 1.63% pay dividends, blending income with growth in their strategies. Yet TSM’s 1.63% yield, 66% above ASML’s 0.98%, suggests a focus on generous payouts—possibly from stronger profits—while ASML leans toward reinvestment, perhaps due to tighter margins.
| Symbol | ASML | TSM |
|---|---|---|
| Dividend Yield (TTM) | 0.98% | 1.63% |
Financial Strength Metrics Comparison
This section dives into the financial resilience of ASML and TSM, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.
- ASML 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.
| Symbol | ASML | TSM |
|---|---|---|
| Current Ratio (TTM) | 1.52 | 2.39 |
| Quick Ratio (TTM) | 0.91 | 2.18 |
| Debt-to-Equity Ratio (TTM) | 0.21 | 0.21 |
| Debt-to-Assets Ratio (TTM) | 0.08 | 0.14 |
| Interest Coverage Ratio (TTM) | -- | 280.65 |