ASX vs. TSM: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ASX and TSM, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
TSM’s market capitalization of 1,217.79 billion USD is significantly greater than ASX’s 22.53 billion USD, highlighting its more substantial market valuation.
With betas of 0.92 for ASX and 1.34 for TSM, both stocks show similar sensitivity to overall market movements.
ASX and TSM are both American Depositary Receipts (ADRs). This provides U.S. investors with straightforward access to investing in these foreign-listed companies without directly engaging with overseas stock exchanges.
| Symbol | ASX | TSM |
|---|---|---|
| Company Name | ASE Technology Holding Co., Ltd. | Taiwan Semiconductor Manufacturing Company Limited |
| Country | TW | TW |
| Sector | Technology | Technology |
| Industry | Semiconductors | Semiconductors |
| CEO | Hung-Pen Chang | C. C. Wei |
| Price | 10.37 USD | 234.8 USD |
| Market Cap | 22.53 billion USD | 1,217.79 billion USD |
| Beta | 0.92 | 1.34 |
| Exchange | NYSE | NYSE |
| IPO Date | October 2, 2000 | October 9, 1997 |
| ADR | Yes | Yes |
Historical Performance
This chart compares the performance of ASX and TSM by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
ASX
11.03%
Semiconductors Industry
- Max
- 41.84%
- Q3
- 15.81%
- Median
- 6.31%
- Q1
- -5.54%
- Min
- -30.12%
ASX’s Return on Equity of 11.03% is on par with the norm for the Semiconductors industry, indicating its profitability relative to shareholder equity is typical for the sector.
TSM
31.41%
Semiconductors Industry
- Max
- 41.84%
- Q3
- 15.81%
- Median
- 6.31%
- Q1
- -5.54%
- Min
- -30.12%
In the upper quartile for the Semiconductors industry, TSM’s Return on Equity of 31.41% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Return on Invested Capital
ASX
5.98%
Semiconductors Industry
- Max
- 30.91%
- Q3
- 11.34%
- Median
- 4.08%
- Q1
- -2.17%
- Min
- -19.59%
ASX’s Return on Invested Capital of 5.98% is in line with the norm for the Semiconductors industry, reflecting a standard level of efficiency in generating profits from its capital base.
TSM
21.11%
Semiconductors Industry
- Max
- 30.91%
- Q3
- 11.34%
- Median
- 4.08%
- Q1
- -2.17%
- Min
- -19.59%
In the upper quartile for the Semiconductors industry, TSM’s Return on Invested Capital of 21.11% signifies a highly effective use of its capital to generate profits when compared to its peers.
Net Profit Margin
ASX
5.61%
Semiconductors Industry
- Max
- 51.69%
- Q3
- 19.67%
- Median
- 8.56%
- Q1
- -5.44%
- Min
- -38.60%
ASX’s Net Profit Margin of 5.61% is aligned with the median group of its peers in the Semiconductors industry. This indicates its ability to convert revenue into profit is typical for the sector.
TSM
41.69%
Semiconductors Industry
- Max
- 51.69%
- Q3
- 19.67%
- Median
- 8.56%
- Q1
- -5.44%
- Min
- -38.60%
A Net Profit Margin of 41.69% places TSM in the upper quartile for the Semiconductors industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin
ASX
7.01%
Semiconductors Industry
- Max
- 58.03%
- Q3
- 22.12%
- Median
- 8.40%
- Q1
- -3.73%
- Min
- -36.14%
ASX’s Operating Profit Margin of 7.01% is around the midpoint for the Semiconductors industry, indicating that its efficiency in managing core business operations is typical for the sector.
TSM
47.12%
Semiconductors Industry
- Max
- 58.03%
- Q3
- 22.12%
- Median
- 8.40%
- Q1
- -3.73%
- Min
- -36.14%
An Operating Profit Margin of 47.12% places TSM in the upper quartile for the Semiconductors industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | ASX | TSM |
|---|---|---|
| Return on Equity (TTM) | 11.03% | 31.41% |
| Return on Assets (TTM) | 4.43% | 18.36% |
| Return on Invested Capital (TTM) | 5.98% | 21.11% |
| Net Profit Margin (TTM) | 5.61% | 41.69% |
| Operating Profit Margin (TTM) | 7.01% | 47.12% |
| Gross Profit Margin (TTM) | 16.32% | 57.41% |
Financial Strength
Current Ratio
ASX
1.04
Semiconductors Industry
- Max
- 9.10
- Q3
- 5.23
- Median
- 3.09
- Q1
- 2.49
- Min
- 1.02
ASX’s Current Ratio of 1.04 falls into the lower quartile for the Semiconductors industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
TSM
2.39
Semiconductors Industry
- Max
- 9.10
- Q3
- 5.23
- Median
- 3.09
- Q1
- 2.49
- Min
- 1.02
TSM’s Current Ratio of 2.39 falls into the lower quartile for the Semiconductors industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
Debt-to-Equity Ratio
ASX
0.72
Semiconductors Industry
- Max
- 0.97
- Q3
- 0.46
- Median
- 0.21
- Q1
- 0.05
- Min
- 0.00
ASX’s leverage is in the upper quartile of the Semiconductors industry, with a Debt-to-Equity Ratio of 0.72. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.
TSM
0.21
Semiconductors Industry
- Max
- 0.97
- Q3
- 0.46
- Median
- 0.21
- Q1
- 0.05
- Min
- 0.00
TSM’s Debt-to-Equity Ratio of 0.21 is typical for the Semiconductors industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio
ASX
7.79
Semiconductors Industry
- Max
- 36.25
- Q3
- 29.12
- Median
- 7.01
- Q1
- -1.22
- Min
- -18.18
ASX’s Interest Coverage Ratio of 7.79 is positioned comfortably within the norm for the Semiconductors industry, indicating a standard and healthy capacity to cover its interest payments.
TSM
280.65
Semiconductors Industry
- Max
- 36.25
- Q3
- 29.12
- Median
- 7.01
- Q1
- -1.22
- Min
- -18.18
With an Interest Coverage Ratio of 280.65, TSM demonstrates a superior capacity to service its debt, placing it well above the typical range for the Semiconductors industry. This stems from either robust earnings or a conservative debt load.
Financial Strength at a Glance
| Symbol | ASX | TSM |
|---|---|---|
| Current Ratio (TTM) | 1.04 | 2.39 |
| Quick Ratio (TTM) | 0.82 | 2.18 |
| Debt-to-Equity Ratio (TTM) | 0.72 | 0.21 |
| Debt-to-Asset Ratio (TTM) | 0.29 | 0.14 |
| Net Debt-to-EBITDA Ratio (TTM) | 1.32 | -0.78 |
| Interest Coverage Ratio (TTM) | 7.79 | 280.65 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ASX and TSM. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
ASX
3.60%
Semiconductors Industry
- Max
- 6.48%
- Q3
- 0.93%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 3.60%, ASX offers a more attractive income stream than most of its peers in the Semiconductors industry, signaling a strong commitment to shareholder returns.
TSM
1.57%
Semiconductors Industry
- Max
- 6.48%
- Q3
- 0.93%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 1.57%, TSM offers a more attractive income stream than most of its peers in the Semiconductors industry, signaling a strong commitment to shareholder returns.
Dividend Payout Ratio
ASX
65.52%
Semiconductors Industry
- Max
- 204.29%
- Q3
- 31.85%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ASX’s Dividend Payout Ratio of 65.52% is in the upper quartile for the Semiconductors industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
TSM
29.71%
Semiconductors Industry
- Max
- 204.29%
- Q3
- 31.85%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
TSM’s Dividend Payout Ratio of 29.71% is within the typical range for the Semiconductors industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | ASX | TSM |
|---|---|---|
| Dividend Yield (TTM) | 3.60% | 1.57% |
| Dividend Payout Ratio (TTM) | 65.52% | 29.71% |
Valuation
Price-to-Earnings Ratio
ASX
18.57
Semiconductors Industry
- Max
- 86.15
- Q3
- 47.38
- Median
- 27.87
- Q1
- 18.89
- Min
- 4.73
In the lower quartile for the Semiconductors industry, ASX’s P/E Ratio of 18.57 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
TSM
21.49
Semiconductors Industry
- Max
- 86.15
- Q3
- 47.38
- Median
- 27.87
- Q1
- 18.89
- Min
- 4.73
TSM’s P/E Ratio of 21.49 is within the middle range for the Semiconductors industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Forward P/E to Growth Ratio
ASX
0.73
Semiconductors Industry
- Max
- 4.73
- Q3
- 2.80
- Median
- 1.11
- Q1
- 0.68
- Min
- 0.01
The Forward PEG Ratio is often not a primary valuation metric in the Semiconductors industry.
TSM
1.19
Semiconductors Industry
- Max
- 4.73
- Q3
- 2.80
- Median
- 1.11
- Q1
- 0.68
- Min
- 0.01
The Forward PEG Ratio is often not a primary valuation metric in the Semiconductors industry.
Price-to-Sales Ratio
ASX
1.05
Semiconductors Industry
- Max
- 21.96
- Q3
- 10.21
- Median
- 4.45
- Q1
- 2.32
- Min
- 0.48
In the lower quartile for the Semiconductors industry, ASX’s P/S Ratio of 1.05 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.
TSM
8.96
Semiconductors Industry
- Max
- 21.96
- Q3
- 10.21
- Median
- 4.45
- Q1
- 2.32
- Min
- 0.48
TSM’s P/S Ratio of 8.96 aligns with the market consensus for the Semiconductors industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio
ASX
2.04
Semiconductors Industry
- Max
- 13.12
- Q3
- 6.49
- Median
- 3.31
- Q1
- 1.74
- Min
- 0.23
ASX’s P/B Ratio of 2.04 is within the conventional range for the Semiconductors industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
TSM
6.12
Semiconductors Industry
- Max
- 13.12
- Q3
- 6.49
- Median
- 3.31
- Q1
- 1.74
- Min
- 0.23
TSM’s P/B Ratio of 6.12 is within the conventional range for the Semiconductors industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
Valuation at a Glance
| Symbol | ASX | TSM |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 18.57 | 21.49 |
| Forward PEG Ratio (TTM) | 0.73 | 1.19 |
| Price-to-Sales Ratio (P/S, TTM) | 1.05 | 8.96 |
| Price-to-Book Ratio (P/B, TTM) | 2.04 | 6.12 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | -63.40 | 30.50 |
| EV-to-EBITDA (TTM) | 7.08 | 12.03 |
| EV-to-Sales (TTM) | 1.29 | 8.41 |