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STOCK COMPARISON

Taiwan Semiconductor Manufacturing vs Cisco Systems: Fair Value & Quality

Both stocks run through our valuation models. Here is how Taiwan Semiconductor Manufacturing (TSM) and Cisco Systems (CSCO) compare, as of Aug 13, 2026.

As of Aug 13, 2026, Fair Value Calculator sees Taiwan Semiconductor Manufacturing as the less overvalued of the two: Taiwan Semiconductor Manufacturing trades at $422 versus a fair value of $208 (-51%), while Cisco Systems trades at $120 versus $56.19 (-53%).
Taiwan Semiconductor Manufacturing
TSM · USD · Information Technology
-51%
upside to fair value
overvalued
Price$422
Fair Value$208
Quality78/100
Cisco Systems
CSCO · USD · Information Technology
-53%
upside to fair value
overvalued
Price$120
Fair Value$56.19
Quality74/100

Head-to-head numbers

Green value = the better side for that row (for valuation multiples: lower = cheaper).

Taiwan Semiconductor ManufacturingCisco Systems
Valuation
36.9×P/E (TTM)40.4×
15.78×P/S (TTM)7.87×
13.08×P/B10.21×
21.5×EV/EBITDA29.0×
1.01×PEG1.68×
0.9%Dividend yield1.4%
$24.00Dividend per share$1.65
Profitability
50%Net margin20%
60%Operating margin25%
40%Return on equity25%
19%Return on assets7%
Growth
36%Revenue growth (YoY)12%
19.3%Avg. growth/yr (3Y)3.2%
23.5%Avg. growth/yr (5Y)2.8%
Balance & size
0.17×Debt / equity0.49×
$2.2TMarket cap$478B
expensiveGrowth qualityhealthy

Taiwan Semiconductor Manufacturing leads: 11 to 3 metric wins.

Dash = not meaningfully computable, for example with negative equity.

Quality in detail

The quality score, broken down into the same factor families as on the stock page, 0 to 100 per family.

Taiwan Semiconductor Manufacturingof which business quality 74 · market factors 68 Cisco Systemsof which business quality 70 · market factors 84
ProfitabilityMargins and returns on capital today
76
58
Quality GrowthAre margins and returns improving?
88
46
CashflowEarnings quality: real cash, not paper profit
69
85
Fin. StrengthBalance sheet, leverage, solvency risk
98
64
InvestmentDisciplined investing over empire-building
5
75
Low VolatilityCalm price path (market factor)
43
61
MomentumPrice trend over the last 3–12 months (market factor)
72
95
52W MomentumDistance to the 52-week high (market factor)
89
93
Net IssuanceBuybacks instead of dilution
82
97

What the models say

The median fair value (base case) per model family, each in the currency of its trading venue. Green = above the current price, red = below.

Taiwan Semiconductor Manufacturing

DCF Models$8,301
Earnings-Based$5,813
Dividend Discount$1,737
Multiples$4,895
Asset-Based$692
Growth DCF$5,466
Economic Profit$4,495
Growth Earnings$8,141

0 of 26 models see the stock below the current price.

Cisco Systems

DCF Models$56.75
Earnings-Based$25.45
Dividend Discount$31.20
Multiples$40.16
Asset-Based$7.96
Growth DCF$56.88
Economic Profit$28.50
Growth Earnings$40.89

26 of 26 models see the stock below the current price.

Scenario ranges

From our cautious bear case to the optimistic bull case. The white tick is the current price: left of fair value means room to run.

Taiwan Semiconductor Manufacturing
Bear $130Fair Value $208Bull $329
$422 = current price (white tick)
Cisco Systems
Bear $40.50Fair Value $56.19Bull $71.87
$120 = current price (white tick)

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Ranked within their sector

Where each stock sits within its sector peer group. Band = middle 50% of peers, tick = median, dot = this stock.

Taiwan Semiconductor Manufacturing · Information Technology

Quality score78 · Top 25%
Fair value upside-51% · below median

Cisco Systems · Information Technology

Quality score74 · Top 25%
Fair value upside-53% · below median

Bottom line

As of Aug 13, 2026, Fair Value Calculator sees Taiwan Semiconductor Manufacturing as the less overvalued of the two: Taiwan Semiconductor Manufacturing trades at $422 versus a fair value of $208 (-51%), while Cisco Systems trades at $120 versus $56.19 (-53%).

Taiwan Semiconductor Manufacturing has the higher quality score (78/100).

See the full analysis →

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A model-based valuation snapshot from 21 models. Values change with price and fundamentals; the date shown above applies.