DDOG vs. TSM: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at DDOG and TSM, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
DDOG is a standard domestic listing, while TSM trades as an American Depositary Receipt (ADR), offering U.S. investors access to its foreign-listed shares.
| Symbol | DDOG | TSM |
|---|---|---|
| Company Name | Datadog, Inc. | Taiwan Semiconductor Manufacturing Company Limited |
| Country | United States | Taiwan |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry | Software | Semiconductors & Semiconductor Equipment |
| Market Capitalization | 49.36 billion USD | 1,496.16 billion USD |
| Exchange | NasdaqGS | NYSE |
| Listing Date | September 19, 2019 | October 9, 1997 |
| Security Type | Common Stock | ADR |
Historical Performance
This chart compares the performance of DDOG 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.
Historical Performance at a Glance
| Symbol | DDOG | TSM |
|---|---|---|
| 5-Day Price Return | 4.27% | -2.61% |
| 13-Week Price Return | 6.01% | 20.28% |
| 26-Week Price Return | 31.89% | 33.16% |
| 52-Week Price Return | 24.69% | 17.52% |
| Month-to-Date Return | 4.19% | 12.50% |
| Year-to-Date Return | -0.34% | 21.40% |
| 10-Day Avg. Volume | 4.16M | 36.74M |
| 3-Month Avg. Volume | 6.23M | 33.53M |
| 3-Month Volatility | 47.39% | 24.13% |
| Beta | 1.20 | 1.33 |
Profitability
Return on Equity (TTM)
DDOG
4.35%
Software Industry
- Max
- 66.28%
- Q3
- 21.28%
- Median
- 9.33%
- Q1
- -8.77%
- Min
- -48.16%
DDOG’s Return on Equity of 4.35% is on par with the norm for the Software industry, indicating its profitability relative to shareholder equity is typical for the sector.
TSM
33.51%
Semiconductors & Semiconductor Equipment Industry
- Max
- 47.13%
- Q3
- 23.50%
- Median
- 9.94%
- Q1
- 0.86%
- Min
- -20.69%
In the upper quartile for the Semiconductors & Semiconductor Equipment industry, TSM’s Return on Equity of 33.51% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Net Profit Margin (TTM)
DDOG
4.13%
Software Industry
- Max
- 51.92%
- Q3
- 19.23%
- Median
- 6.98%
- Q1
- -7.14%
- Min
- -41.00%
DDOG’s Net Profit Margin of 4.13% is aligned with the median group of its peers in the Software industry. This indicates its ability to convert revenue into profit is typical for the sector.
TSM
42.92%
Semiconductors & Semiconductor Equipment Industry
- Max
- 52.41%
- Q3
- 23.88%
- Median
- 10.17%
- Q1
- 1.21%
- Min
- -32.15%
A Net Profit Margin of 42.92% places TSM in the upper quartile for the Semiconductors & Semiconductor Equipment industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin (TTM)
DDOG
-0.61%
Software Industry
- Max
- 60.40%
- Q3
- 21.25%
- Median
- 9.90%
- Q1
- -4.97%
- Min
- -43.50%
DDOG has a negative Operating Profit Margin of -0.61%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.
TSM
48.71%
Semiconductors & Semiconductor Equipment Industry
- Max
- 58.09%
- Q3
- 27.54%
- Median
- 11.18%
- Q1
- 3.31%
- Min
- -28.36%
An Operating Profit Margin of 48.71% places TSM in the upper quartile for the Semiconductors & Semiconductor Equipment 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 | DDOG | TSM |
|---|---|---|
| Return on Equity (TTM) | 4.35% | 33.51% |
| Return on Assets (TTM) | 2.24% | 21.63% |
| Net Profit Margin (TTM) | 4.13% | 42.92% |
| Operating Profit Margin (TTM) | -0.61% | 48.71% |
| Gross Profit Margin (TTM) | 79.92% | 58.58% |
Financial Strength
Current Ratio (MRQ)
DDOG
3.43
Software Industry
- Max
- 4.29
- Q3
- 2.37
- Median
- 1.40
- Q1
- 1.03
- Min
- 0.25
DDOG’s Current Ratio of 3.43 is in the upper quartile for the Software industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
TSM
2.37
Semiconductors & Semiconductor Equipment Industry
- Max
- 6.58
- Q3
- 4.24
- Median
- 2.73
- Q1
- 2.13
- Min
- 1.02
TSM’s Current Ratio of 2.37 aligns with the median group of the Semiconductors & Semiconductor Equipment industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio (MRQ)
DDOG
0.31
Software Industry
- Max
- 2.16
- Q3
- 0.86
- Median
- 0.31
- Q1
- 0.00
- Min
- 0.00
DDOG’s Debt-to-Equity Ratio of 0.31 is typical for the Software industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
TSM
0.21
Semiconductors & Semiconductor Equipment Industry
- Max
- 1.09
- Q3
- 0.48
- Median
- 0.25
- Q1
- 0.01
- Min
- 0.00
TSM’s Debt-to-Equity Ratio of 0.21 is typical for the Semiconductors & Semiconductor Equipment 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 (TTM)
DDOG
-1.64
Software Industry
- Max
- 89.65
- Q3
- 32.64
- Median
- 1.00
- Q1
- -9.84
- Min
- -71.23
DDOG has a negative Interest Coverage Ratio of -1.64. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.
TSM
8.32
Semiconductors & Semiconductor Equipment Industry
- Max
- 174.00
- Q3
- 74.71
- Median
- 26.06
- Q1
- 6.43
- Min
- -7.80
TSM’s Interest Coverage Ratio of 8.32 is positioned comfortably within the norm for the Semiconductors & Semiconductor Equipment industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | DDOG | TSM |
|---|---|---|
| Current Ratio (MRQ) | 3.43 | 2.37 |
| Quick Ratio (MRQ) | 3.38 | 2.15 |
| Debt-to-Equity Ratio (MRQ) | 0.31 | 0.21 |
| Interest Coverage Ratio (TTM) | -1.64 | 8.32 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
DDOG
0.00%
Software Industry
- Max
- 0.22%
- Q3
- 0.11%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
DDOG currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
TSM
1.23%
Semiconductors & Semiconductor Equipment Industry
- Max
- 3.72%
- Q3
- 1.51%
- Median
- 0.69%
- Q1
- 0.00%
- Min
- 0.00%
TSM’s Dividend Yield of 1.23% is consistent with its peers in the Semiconductors & Semiconductor Equipment industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio (TTM)
DDOG
0.00%
Software Industry
- Max
- 3.29%
- Q3
- 2.41%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
DDOG has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
TSM
28.42%
Semiconductors & Semiconductor Equipment Industry
- Max
- 205.27%
- Q3
- 88.01%
- Median
- 27.13%
- Q1
- 0.00%
- Min
- 0.00%
TSM’s Dividend Payout Ratio of 28.42% is within the typical range for the Semiconductors & Semiconductor Equipment industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | DDOG | TSM |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 1.23% |
| Dividend Payout Ratio (TTM) | 0.00% | 28.42% |
Valuation
Price-to-Earnings Ratio (TTM)
DDOG
429.90
Software Industry
- Max
- 145.74
- Q3
- 94.88
- Median
- 45.35
- Q1
- 26.66
- Min
- 8.80
At 429.90, DDOG’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Software industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
TSM
23.18
Semiconductors & Semiconductor Equipment Industry
- Max
- 106.30
- Q3
- 61.93
- Median
- 38.96
- Q1
- 23.71
- Min
- 13.06
In the lower quartile for the Semiconductors & Semiconductor Equipment industry, TSM’s P/E Ratio of 23.18 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
Price-to-Sales Ratio (TTM)
DDOG
17.76
Software Industry
- Max
- 25.67
- Q3
- 13.68
- Median
- 8.28
- Q1
- 4.95
- Min
- 0.90
DDOG’s P/S Ratio of 17.76 is in the upper echelon for the Software industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
TSM
9.95
Semiconductors & Semiconductor Equipment Industry
- Max
- 19.99
- Q3
- 10.21
- Median
- 5.23
- Q1
- 2.88
- Min
- 1.13
TSM’s P/S Ratio of 9.95 aligns with the market consensus for the Semiconductors & Semiconductor Equipment industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio (MRQ)
DDOG
14.52
Software Industry
- Max
- 30.67
- Q3
- 14.92
- Median
- 8.52
- Q1
- 3.89
- Min
- 0.38
DDOG’s P/B Ratio of 14.52 is within the conventional range for the Software 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
6.00
Semiconductors & Semiconductor Equipment Industry
- Max
- 14.22
- Q3
- 6.94
- Median
- 4.29
- Q1
- 1.99
- Min
- 0.67
TSM’s P/B Ratio of 6.00 is within the conventional range for the Semiconductors & Semiconductor Equipment 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 | DDOG | TSM |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 429.90 | 23.18 |
| Price-to-Sales Ratio (TTM) | 17.76 | 9.95 |
| Price-to-Book Ratio (MRQ) | 14.52 | 6.00 |
| Price-to-Free Cash Flow Ratio (TTM) | 62.69 | 36.24 |