RDDT vs. TSM: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at RDDT and TSM, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
RDDT 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 | RDDT | TSM |
|---|---|---|
| Company Name | Reddit, Inc. | Taiwan Semiconductor Manufacturing Company Limited |
| Country | United States | Taiwan |
| GICS Sector | Communication Services | Information Technology |
| GICS Industry | Interactive Media & Services | Semiconductors & Semiconductor Equipment |
| Market Capitalization | 41.12 billion USD | 1,221.89 billion USD |
| Exchange | NYSE | NYSE |
| Listing Date | March 21, 2024 | October 9, 1997 |
| Security Type | Common Stock | ADR |
Historical Performance
This chart compares the performance of RDDT 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 | RDDT | TSM |
|---|---|---|
| 5-Day Price Return | -3.70% | -1.27% |
| 13-Week Price Return | 123.48% | 19.88% |
| 26-Week Price Return | 15.85% | 6.36% |
| 52-Week Price Return | 289.39% | 17.52% |
| Month-to-Date Return | 36.83% | 0.86% |
| Year-to-Date Return | 34.44% | 8.84% |
| 10-Day Avg. Volume | 7.11M | 31.82M |
| 3-Month Avg. Volume | 8.13M | 34.19M |
| 3-Month Volatility | 61.04% | 27.00% |
| Beta | 2.06 | 1.28 |
Profitability
Return on Equity (TTM)
RDDT
9.93%
Interactive Media & Services Industry
- Max
- 49.37%
- Q3
- 29.69%
- Median
- 9.73%
- Q1
- 2.47%
- Min
- -26.19%
RDDT’s Return on Equity of 9.93% is on par with the norm for the Interactive Media & Services industry, indicating its profitability relative to shareholder equity is typical for the sector.
TSM
33.51%
Semiconductors & Semiconductor Equipment Industry
- Max
- 52.74%
- Q3
- 23.49%
- Median
- 11.60%
- Q1
- 3.23%
- 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)
RDDT
12.97%
Interactive Media & Services Industry
- Max
- 50.41%
- Q3
- 29.38%
- Median
- 17.14%
- Q1
- 3.13%
- Min
- -30.88%
RDDT’s Net Profit Margin of 12.97% is aligned with the median group of its peers in the Interactive Media & Services industry. This indicates its ability to convert revenue into profit is typical for the sector.
TSM
42.92%
Semiconductors & Semiconductor Equipment Industry
- Max
- 44.17%
- Q3
- 22.38%
- Median
- 11.95%
- Q1
- 3.21%
- Min
- -25.16%
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)
RDDT
7.87%
Interactive Media & Services Industry
- Max
- 65.96%
- Q3
- 36.95%
- Median
- 18.60%
- Q1
- 5.69%
- Min
- -18.13%
RDDT’s Operating Profit Margin of 7.87% is around the midpoint for the Interactive Media & Services industry, indicating that its efficiency in managing core business operations is typical for the sector.
TSM
48.71%
Semiconductors & Semiconductor Equipment Industry
- Max
- 58.03%
- Q3
- 27.84%
- Median
- 12.45%
- Q1
- 5.15%
- Min
- -28.61%
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 | RDDT | TSM |
|---|---|---|
| Return on Equity (TTM) | 9.93% | 33.51% |
| Return on Assets (TTM) | 9.04% | 21.63% |
| Net Profit Margin (TTM) | 12.97% | 42.92% |
| Operating Profit Margin (TTM) | 7.87% | 48.71% |
| Gross Profit Margin (TTM) | 91.04% | 58.58% |
Financial Strength
Current Ratio (MRQ)
RDDT
12.00
Interactive Media & Services Industry
- Max
- 4.30
- Q3
- 2.68
- Median
- 1.96
- Q1
- 1.21
- Min
- 0.45
RDDT’s Current Ratio of 12.00 is exceptionally high, placing it well outside the typical range for the Interactive Media & Services industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.
TSM
2.37
Semiconductors & Semiconductor Equipment Industry
- Max
- 8.42
- Q3
- 4.70
- Median
- 2.75
- Q1
- 2.07
- Min
- 1.04
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)
RDDT
0.00
Interactive Media & Services Industry
- Max
- 0.90
- Q3
- 0.47
- Median
- 0.16
- Q1
- 0.03
- Min
- 0.00
Falling into the lower quartile for the Interactive Media & Services industry, RDDT’s Debt-to-Equity Ratio of 0.00 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
TSM
0.21
Semiconductors & Semiconductor Equipment Industry
- Max
- 1.09
- Q3
- 0.45
- Median
- 0.22
- 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)
RDDT
--
Interactive Media & Services Industry
- Max
- 67.60
- Q3
- 29.41
- Median
- 6.36
- Q1
- -0.87
- Min
- -37.02
Interest Coverage Ratio data for RDDT is currently unavailable.
TSM
8.32
Semiconductors & Semiconductor Equipment Industry
- Max
- 174.00
- Q3
- 81.10
- Median
- 27.22
- Q1
- 7.28
- Min
- -4.26
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 | RDDT | TSM |
|---|---|---|
| Current Ratio (MRQ) | 12.00 | 2.37 |
| Quick Ratio (MRQ) | 11.89 | 2.15 |
| Debt-to-Equity Ratio (MRQ) | 0.00 | 0.21 |
| Interest Coverage Ratio (TTM) | -- | 8.32 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
RDDT
0.00%
Interactive Media & Services Industry
- Max
- 1.87%
- Q3
- 1.08%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
RDDT 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
1.35%
Semiconductors & Semiconductor Equipment Industry
- Max
- 4.16%
- Q3
- 1.78%
- Median
- 0.74%
- Q1
- 0.00%
- Min
- 0.00%
TSM’s Dividend Yield of 1.35% 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)
RDDT
0.00%
Interactive Media & Services Industry
- Max
- 87.35%
- Q3
- 38.67%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
RDDT 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
- 196.12%
- Q3
- 87.72%
- Median
- 26.57%
- 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 | RDDT | TSM |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 1.35% |
| Dividend Payout Ratio (TTM) | 0.00% | 28.42% |
Valuation
Price-to-Earnings Ratio (TTM)
RDDT
188.91
Interactive Media & Services Industry
- Max
- 87.79
- Q3
- 54.33
- Median
- 25.46
- Q1
- 18.76
- Min
- 6.96
At 188.91, RDDT’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Interactive Media & Services 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
21.05
Semiconductors & Semiconductor Equipment Industry
- Max
- 109.37
- Q3
- 57.11
- Median
- 28.95
- Q1
- 22.13
- Min
- 11.14
In the lower quartile for the Semiconductors & Semiconductor Equipment industry, TSM’s P/E Ratio of 21.05 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
Price-to-Sales Ratio (TTM)
RDDT
24.50
Interactive Media & Services Industry
- Max
- 19.01
- Q3
- 12.39
- Median
- 6.49
- Q1
- 1.94
- Min
- 0.22
With a P/S Ratio of 24.50, RDDT trades at a valuation that eclipses even the highest in the Interactive Media & Services industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
TSM
9.04
Semiconductors & Semiconductor Equipment Industry
- Max
- 16.09
- Q3
- 10.10
- Median
- 4.82
- Q1
- 2.60
- Min
- 0.93
TSM’s P/S Ratio of 9.04 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)
RDDT
11.64
Interactive Media & Services Industry
- Max
- 11.66
- Q3
- 7.17
- Median
- 4.17
- Q1
- 2.80
- Min
- 0.12
RDDT’s P/B Ratio of 11.64 is in the upper tier for the Interactive Media & Services industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
TSM
6.00
Semiconductors & Semiconductor Equipment Industry
- Max
- 13.56
- Q3
- 6.75
- Median
- 3.68
- Q1
- 1.89
- Min
- 0.60
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 | RDDT | TSM |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 188.91 | 21.05 |
| Price-to-Sales Ratio (TTM) | 24.50 | 9.04 |
| Price-to-Book Ratio (MRQ) | 11.64 | 6.00 |
| Price-to-Free Cash Flow Ratio (TTM) | 102.98 | 32.90 |