Cadence Design Systems Inc vs Taiwan Semiconductor Mfg. Co. Ltd. — how do they compare? Cadence Design Systems Inc trades at $326.51 (market cap $90.20B), while Taiwan Semiconductor Mfg. Co. Ltd. trades at $427.48 (market cap $1.93T). The key difference: Taiwan Semiconductor Mfg. Co. Ltd. is far larger — about 21.4× Cadence Design Systems Inc's market cap, and Taiwan Semiconductor Mfg. Co. Ltd. pays a 0.9% dividend while Cadence Design Systems Inc pays none. Which is the better fit depends on your goals.
| CDNS | TSM | |
|---|---|---|
Market Cap | $90.20B | $1.93T |
Sector | Technology | Technology |
52-Week High | $416.39 | $477.57 |
52-Week Low | $265.66 | $227.33 |
Enterprise Value | $91.41B | $1.85T |
Dividend Yield | — | 0.9% |
Trailing returns across standard periods
Latest headlines on both assets
Cadence Design Systems is a provider of electronic design automation software, intellectual property, and system design and analysis products. EDA software automates the chip design process, enhancing design accuracy, productivity, and complexity in a full-flow end-to-end solution. Cadence offers a portfolio of design IP, as well as system design and analysis products, which enable system-level analysis and verification solutions. Cadence's comprehensive portfolio is benefiting from a mutual convergence of semiconductor companies moving up-stack toward systems-like companies, and systems companies moving down-stack toward in-house chip design. The resulting expansion in EDA customers, alongside secular digitalization of various end markets, benefits EDA vendors like Cadence.
Read more on CDNS →Taiwan Semiconductor Manufacturing Company, or TSMC, is the world's largest dedicated chip foundry, with over 57% market share in 2021 per Gartner. TSMC was founded in 1987 as a joint venture of Philips, the government of Taiwan, and private investors. It went public as an ADR in the U.S. in 1997. TSMC's scale and high-quality technology allow the firm to generate solid operating margins, even in the highly competitive foundry business. Furthermore, the shift to the fabless business model has created tailwinds for TSMC. The foundry leader has an illustrious customer base, including Apple, AMD and Nvidia, that looks to apply cutting-edge process technologies to its semiconductor designs.
Read more on TSM →