STMicroelectronics NV vs Taiwan Semiconductor Mfg. Co. Ltd. — how do they compare? STMicroelectronics NV trades at $65.31 (market cap $55.80B), while Taiwan Semiconductor Mfg. Co. Ltd. trades at $421.05 (market cap $1.88T). The key difference: Taiwan Semiconductor Mfg. Co. Ltd. is far larger — about 33.7× STMicroelectronics NV's market cap, and Taiwan Semiconductor Mfg. Co. Ltd. pays the higher dividend (0.94%). Which is the better fit depends on your goals.
| STM | TSM | |
|---|---|---|
Market Cap | $55.80B | $1.88T |
Sector | Financials | Technology |
52-Week High | $79.91 | $477.57 |
52-Week Low | $21.20 | $227.33 |
Enterprise Value | $54.01B | $1.81T |
Dividend Yield | 0.58% | 0.94% |
Signals from Pluang's Aura AI — not financial advice
STM stock trades at $65.43, up 5.43% in the past 24 hours, with a bearish technical signal and mixed earnings history. The company shows declining revenue and net income margins but maintains positive cash flow from operations. Recent news highlights AI partnerships and automotive chip demand as potential growth drivers.
Outlook remains cautious due to elevated P/E ratio of 386.13 and recent earnings misses, though analyst consensus is bullish with a $72.33 price target. Key risks include semiconductor cycle volatility and execution challenges in maintaining profitability amid revenue pressures.
TSM trades at $424.61, up 6.59% today, with strong fundamentals including 49.92% net income margin and 40.26% ROE. The stock shows bearish technical signals but has beaten earnings estimates for three consecutive quarters. Recent news highlights TSMC's plans to raise chipmaking prices by up to 10% in 2027, positioning the company to capitalize on AI infrastructure demand.
Analysts maintain strong bullish sentiment with a $547.50 consensus price target (72% buy ratings), though technical indicators suggest near-term caution. Key risks include competitive pressures and market volatility, but TSMC's dominant market position and pricing power provide solid long-term growth prospects.
Trailing returns across standard periods
Latest headlines on both assets
A merger between Italian firm SGS Microelettronica and the nonmilitary business of Thomson Semiconductors in France formed STMicroelectronics in 1987. STMicro is a leader in a variety of semiconductor products, including analog chips, discrete power semiconductors, microcontrollers, and sensors. STMicro is an especially prominent chip supplier into the industrial and automotive industries.
Read more on STM →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 →