GOOGL vs. TSM: Alphabet vs. Taiwan Semiconductor Mfg Stock Comparison

October 26, 2026

How do Alphabet (GOOGL) and Taiwan Semiconductor Mfg (TSM) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Alphabet (GOOGL) is classified in the Communication Services sector (Media & Entertainment), whereas Taiwan Semiconductor Mfg (TSM) belongs to Information Technology (Semiconductors & Semiconductor Equipment) — their GICS classifications point to very different parts of the market.

Alphabet (GOOGL) trades as ordinary local shares, while Taiwan Semiconductor Mfg (TSM) trades as an ADR — compare with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.

Company profile comparison for Alphabet (GOOGL) and Taiwan Semiconductor Mfg (TSM)
Profile Item	GOOGL	TSM
Name	Alphabet Inc. Class A Common Stock	Taiwan Semiconductor Manufacturing Company Ltd. ADR
Country/Region	United States	Taiwan
GICS Sector	Communication Services	Information Technology
GICS Industry Group	Media & Entertainment	Semiconductors & Semiconductor Equipment
GICS Industry	Interactive Media & Services	Semiconductors & Semiconductor Equipment
GICS Sub-Industry	Interactive Media & Services	Semiconductors
Market Capitalization	3,916.15 billion USD	2,170.59 billion USD
Currency	USD	USD
Exchange	Nasdaq	NYSE
Listing Date	August 19, 2004	October 9, 1997
Security Type	Common Stock	ADR

Price Performance

Cumulative Growth

GOOGL

TSM

GSPC

Alphabet (GOOGL) vs. Taiwan Semiconductor Mfg (TSM), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Alphabet (GOOGL) and Taiwan Semiconductor Mfg (TSM). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Alphabet (GOOGL) and Taiwan Semiconductor Mfg (TSM). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Alphabet (GOOGL) and Taiwan Semiconductor Mfg (TSM)
Metric	GOOGL	TSM
Total Return (1Y)	26.85%	45.48%
Total Return (3Y, Annualized)	33.29%	68.46%
Total Return (5Y, Annualized)	18.63%	31.75%

Risk Profile

Drawdown History

GOOGL

TSM

GSPC

Alphabet (GOOGL) vs. Taiwan Semiconductor Mfg (TSM), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Alphabet (GOOGL) and Taiwan Semiconductor Mfg (TSM). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Alphabet (GOOGL) and Taiwan Semiconductor Mfg (TSM)
Metric	GOOGL	TSM
Volatility (1Y, Annualized)	31.67%	39.14%
Beta (5Y)	1.21	1.43
Max Drawdown (5Y)	-44.32%	-56.47%
Avg. Volume (3M)	26.33M	11.02M

Risk-Adjusted Performance

Risk-Return Positioning

GOOGL and TSM are plotted by 1-year volatility (risk) and 1-year return. Each dashed Capital Allocation Line uses that stock's own industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Alphabet (GOOGL) and Taiwan Semiconductor Mfg (TSM)
Metric	GOOGL	TSM
Sharpe Ratio (1Y)	0.71	1.05
Sortino Ratio (1Y)	1.12	1.58

Profitability

ROE (TTM)

Both companies show strong equity returns, but Alphabet (GOOGL) at 48.68% is the standout with ROE above its industry range; Taiwan Semiconductor Mfg (TSM) at 41.86% also sits in the top quartile.

GOOGL

Media & Entertainment industry group

48.68%

GOOGL: 48.68%
Max: 45.82%
Q3: 17.46%
Median: 7.50%
Q1: -3.05%
Min: -26.31%

TSM

Semiconductors & Semiconductor Equipment industry group

41.86%

Max: 44.25%
TSM: 41.86%
Q3: 21.16%
Median: 9.12%
Q1: -2.07%
Min: -16.89%

Alphabet (GOOGL) vs. Taiwan Semiconductor Mfg (TSM): A comparison of their ROE against their respective Media & Entertainment and Semiconductors & Semiconductor Equipment industry group benchmarks.

Net Margin (TTM)

Alphabet (GOOGL) at 54.77% keeps the most of each sales dollar — above its industry’s net margin range — and Taiwan Semiconductor Mfg (TSM) at 51.12% also retains a top-quartile share.

GOOGL

Media & Entertainment industry group

54.77%

GOOGL: 54.77%
Max: 32.91%
Q3: 11.58%
Median: 5.49%
Q1: -3.17%
Min: -25.14%

TSM

Semiconductors & Semiconductor Equipment industry group

51.12%

Max: 58.15%
TSM: 51.12%
Q3: 24.02%
Median: 10.09%
Q1: 0.00%
Min: -34.50%

Alphabet (GOOGL) vs. Taiwan Semiconductor Mfg (TSM): A comparison of their net margin against their respective Media & Entertainment and Semiconductors & Semiconductor Equipment industry group benchmarks.

Operating Margin (TTM)

Taiwan Semiconductor Mfg (TSM) at 58.66% shows unusually strong operating efficiency — above its industry’s operating margin range — and Alphabet (GOOGL) at 34.03% also operates in the top quartile.

GOOGL

Media & Entertainment industry group

34.03%

Max: 40.16%
GOOGL: 34.03%
Q3: 18.63%
Median: 10.04%
Q1: 0.29%
Min: -19.55%

TSM

Semiconductors & Semiconductor Equipment industry group

58.66%

TSM: 58.66%
Max: 54.31%
Q3: 23.80%
Median: 15.10%
Q1: 3.21%
Min: -27.51%

Alphabet (GOOGL) vs. Taiwan Semiconductor Mfg (TSM): A comparison of their operating margin against their respective Media & Entertainment and Semiconductors & Semiconductor Equipment industry group benchmarks.

Profitability Metrics

Profitability metrics for Alphabet (GOOGL) and Taiwan Semiconductor Mfg (TSM)
Metric	GOOGL	TSM
ROE (TTM)	48.68%	41.86%
ROA (TTM)	12.96%	20.58%
Net Margin (TTM)	54.77%	51.12%
Operating Margin (TTM)	34.03%	58.66%
Gross Margin (TTM)	60.90%	65.85%

Growth

Revenue Growth

Both Alphabet (GOOGL) at 15.09% and Taiwan Semiconductor Mfg (TSM) at 31.61% sit in the top peer quartile for revenue growth, so each is growing its top line faster than typical industry peers.

Alphabet (GOOGL) vs. Taiwan Semiconductor Mfg (TSM): A comparison of their Revenue Growth across different time periods.

EPS Growth

Taiwan Semiconductor Mfg (TSM) at 44.69% sits in the top EPS growth quartile, while Alphabet (GOOGL) at 34.45% is closer to the peer norm — faster per-share earnings growth for TSM.

Alphabet (GOOGL) vs. Taiwan Semiconductor Mfg (TSM): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Alphabet (GOOGL) and Taiwan Semiconductor Mfg (TSM)
Metric	GOOGL	TSM
Revenue Growth (YoY)	15.09%	31.61%
Revenue Growth (3Y CAGR)	12.51%	18.94%
EPS Growth (YoY)	34.45%	44.69%
EPS Growth (3Y CAGR)	33.34%	18.65%

Financial Strength

Current Ratio (MRQ)

Taiwan Semiconductor Mfg (TSM) at 2.51 keeps current ratio within its industry’s typical mid-range, while Alphabet (GOOGL) at 2.72 sits above its industry’s typical mid-range — comfortable liquidity, though possibly with more idle current assets relative to peers.

GOOGL

Media & Entertainment industry group

2.72

Max: 4.50
GOOGL: 2.72
Q3: 2.42
Median: 1.53
Q1: 0.90
Min: 0.25

TSM

Semiconductors & Semiconductor Equipment industry group

2.51

Max: 9.75
Q3: 5.37
Median: 3.30
TSM: 2.51
Q1: 2.25
Min: 1.03

Alphabet (GOOGL) vs. Taiwan Semiconductor Mfg (TSM): A comparison of their current ratio against their respective Media & Entertainment and Semiconductors & Semiconductor Equipment industry group benchmarks.

Debt / Equity (MRQ)

Both Alphabet (GOOGL) at 0.19 and Taiwan Semiconductor Mfg (TSM) at 0.12 fund their balance sheets with roughly industry-typical debt-to-equity mixes.

GOOGL

Media & Entertainment industry group

0.19

Max: 3.84
Q3: 1.71
Median: 0.60
GOOGL: 0.19
Q1: 0.17
Min: 0.00

TSM

Semiconductors & Semiconductor Equipment industry group

0.12

Max: 1.44
Q3: 0.65
Median: 0.18
TSM: 0.12
Q1: 0.04
Min: 0.00

Alphabet (GOOGL) vs. Taiwan Semiconductor Mfg (TSM): A comparison of their debt-to-equity ratio against their respective Media & Entertainment and Semiconductors & Semiconductor Equipment industry group benchmarks.

Financial Strength Metrics

Financial strength metrics for Alphabet (GOOGL) and Taiwan Semiconductor Mfg (TSM)
Metric	GOOGL	TSM
Current Ratio (MRQ)	2.72	2.51
Debt / Equity (MRQ)	0.19	0.12
Net Debt / EBITDA	-0.70	-0.89

Dividends

Dividend Yield (TTM)

Alphabet (GOOGL) at 0.26% pays an industry-typical yield; Taiwan Semiconductor Mfg (TSM) at 1.46% is above its entire peer range — the higher number, but one that calls for a look at payout sustainability before treating it as an advantage.

GOOGL

Media & Entertainment industry group

0.26%

Max: 1.70%
Q3: 0.69%
GOOGL: 0.26%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

TSM

Semiconductors & Semiconductor Equipment industry group

1.46%

TSM: 1.46%
Max: 1.12%
Q3: 0.48%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Alphabet (GOOGL) vs. Taiwan Semiconductor Mfg (TSM): A comparison of their dividend yield against their respective Media & Entertainment and Semiconductors & Semiconductor Equipment industry group benchmarks.

Dividend Payout Ratio (TTM)

Alphabet (GOOGL) at 4.26% pays out a band-typical share of earnings, while Taiwan Semiconductor Mfg (TSM) at 24.46% distributes more than its industry norm — less retained, thinner cover.

GOOGL

Media & Entertainment industry group

4.26%

Max: 60.80%
Q3: 28.16%
GOOGL: 4.26%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

TSM

Semiconductors & Semiconductor Equipment industry group

24.46%

Max: 45.89%
TSM: 24.46%
Q3: 19.14%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Alphabet (GOOGL) vs. Taiwan Semiconductor Mfg (TSM): A comparison of their payout ratio against their respective Media & Entertainment and Semiconductors & Semiconductor Equipment industry group benchmarks.

Dividend Metrics

Dividend metrics for Alphabet (GOOGL) and Taiwan Semiconductor Mfg (TSM)
Metric	GOOGL	TSM
Dividend Yield (TTM)	0.26%	1.46%
Dividend Payout Ratio (TTM)	4.26%	24.46%

Valuation

P/E Ratio (TTM)

Both Alphabet (GOOGL) at 16.07 and Taiwan Semiconductor Mfg (TSM) at 27.12 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

GOOGL

Media & Entertainment industry group

16.07

Max: 73.62
Q3: 36.70
Median: 19.19
GOOGL: 16.07
Q1: 10.72
Min: 1.50

TSM

Semiconductors & Semiconductor Equipment industry group

27.12

Max: 131.83
Q3: 75.24
Median: 42.42
TSM: 27.12
Q1: 26.67
Min: 8.74

Alphabet (GOOGL) vs. Taiwan Semiconductor Mfg (TSM): A comparison of their P/E ratio against their respective Media & Entertainment and Semiconductors & Semiconductor Equipment industry group benchmarks.

P/S Ratio (TTM)

Taiwan Semiconductor Mfg (TSM) at 0.44 looks cheap on sales in the lower P/S ratio quartile, while Alphabet (GOOGL) at 8.78 looks rich in the upper quartile — a clear gap in price per dollar of revenue.

GOOGL

Media & Entertainment industry group

8.78

GOOGL: 8.78
Max: 8.78
Q3: 3.91
Median: 1.61
Q1: 0.65
Min: 0.00

TSM

Semiconductors & Semiconductor Equipment industry group

0.44

Max: 29.47
Q3: 13.72
Median: 6.92
Q1: 3.08
TSM: 0.44
Min: 0.01

Alphabet (GOOGL) vs. Taiwan Semiconductor Mfg (TSM): A comparison of their P/S ratio against their respective Media & Entertainment and Semiconductors & Semiconductor Equipment industry group benchmarks.

P/B Ratio (MRQ)

Both look rich against book: Alphabet (GOOGL) at 6.29 sits in the upper P/B ratio quartile, and Taiwan Semiconductor Mfg (TSM) at 79.87 prices even higher, above its industry range.

GOOGL

Media & Entertainment industry group

6.29

Max: 12.23
GOOGL: 6.29
Q3: 5.66
Median: 1.94
Q1: 0.76
Min: -1.97

TSM

Semiconductors & Semiconductor Equipment industry group

79.87

TSM: 79.87
Max: 16.75
Q3: 8.96
Median: 4.96
Q1: 2.62
Min: 0.16

Alphabet (GOOGL) vs. Taiwan Semiconductor Mfg (TSM): A comparison of their P/B ratio against their respective Media & Entertainment and Semiconductors & Semiconductor Equipment industry group benchmarks.

Valuation Metrics

Valuation metrics for Alphabet (GOOGL) and Taiwan Semiconductor Mfg (TSM)
Metric	GOOGL	TSM
P/E Ratio (TTM)	16.07	27.12
P/S Ratio (TTM)	8.78	0.44
P/B Ratio (MRQ)	6.29	79.87
Free Cash Flow Yield (TTM)	0.58%	55.43%