Taiwan Semiconductor Co (5425) Fair Value & Analysis
Technology · TW · Market cap 21.7B TWD
Fair value as of: Jul 23, 2026
From 26 valuation models · updated 17 days ago
Fair value updated Jul 23, 2026, revised from 41.68 TWD to 51.98 TWD (+24.7%) since Jul 11, 2026. Share price −39.3% over the past month.
A solid business, but screening 37% overvalued on our models.
What matters now
- The price sits above even our optimistic bull case (64.97 TWD). The favourable scenario is already priced in.
- Solid but not exceptional quality (68/100) and above fair value, neither a clear bargain nor a standout compounder.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 23, 2026.
How to read this chart
60‑month range 32.69 TWD – 144.00 TWD · fair‑value band 38.98 TWD – 64.97 TWD · the 82.50 TWD price screens above the 51.98 TWD fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 23, 2026.
Analysis
Taiwan Semiconductor Co (5425) currently trades at 82.50 TWD, while our model-based Fair Value estimate is 51.98 TWD, implying the stock looks roughly 37.0% overvalued today. The Quality Score stands at 68/100 (solid quality), in the Technology sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: medium).
Over the trailing twelve months, Taiwan Semiconductor Co generated revenue of 17.8B TWD at a net margin of 3.2%. Revenue declined 2.6% year over year. It earns a return on equity of 10.4%. Net debt stands at 1.5B TWD. Fundamentals as of Jul 23, 2026
Our scenario range runs from 38.98 TWD (bear case) to 64.97 TWD (bull case); at 82.50 TWD, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 34% below its 52-week high and 93% above its 52-week low, currently above its 200-day average. For context, the median of 10 Technology peers we cover trades at -67% fair-value upside, at -37%, 5425 screens cheaper than that median.
Fair Value models
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.
All 26 models by family
Widest divergence: Growth DCF (105.26 TWD) versus Earnings-Based (16.73 TWD). Highest evidence: Growth DCF (80).
Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Jul 23, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 67 · Market factors (momentum, volatility) 61
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
About the company
Taiwan Semiconductor Co., Ltd. manufactures and sells rectifiers and bar code printers in Asia, the United States, Europe, and internationally.
Full company description
Taiwan Semiconductor Co., Ltd. manufactures and sells rectifiers and bar code printers in Asia, the United States, Europe, and internationally. It offers discrete devices, including schottky rectifier, bridge, standard rectifier, protection diode, MOSFETs, general purpose and low transistor, small signal products, such as zener, switching, and schottky diode. The company also provides amplifier & comparator; automotive voltage, linear voltage, and switching regulator; LED driver; voltage references; and magnetic sensors. It is also involved in customization of design, integration, and marketing of label papers and other parts; production and sales of handheld computers and their parts for enterprise; and research and development, and designing of handheld computers for enterprise use, and technical services. Its products are used in a range of applications in the automotive, power supply, computing, consumer, lighting, and telecom industry. The company was founded in 1968 and is headquartered in New Taipei City, Taiwan.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
Taiwan Semiconductor Co reported revenue of 18.0B TWD in FY2025 versus 13.2B TWD in FY2021, a compound +8.0%/yr. Reported net income was 510M TWD in FY2025, compounding −22.1%/yr from FY2021.
5425 screens 37% overvalued. Compare with NVIDIA Corporation →
Peer Group
Semiconductors · 319 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Semiconductors median · lower = cheaper
Snowflake
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
VALUE 0: the price sits above our fair-value range.
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.
Similar stocks
10 more Semiconductors stocks, each showing price versus our Fair Value estimate (as of Jul 23, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| NVIDIA Corporation NVDA | $211.80 | $96.91 | -54% |
| Broadcom Inc 1AVGO | €367.75 | €121.25 | -67% |
| Micron Technology, Inc ZMIC | C$52.57 | C$7.50 | -86% |
| SK hynix Inc 000660 | 2,082,000 KRW | 1,109,311 KRW | -47% |
| Advanced Micro Devices, Inc 1AMD | €425.20 | €56.33 | -87% |
| Intel Corporation INTC | C$68.40 | C$9.82 | -86% |
| Texas Instruments Incorporated TXN | $311.46 | $59.75 | -81% |
| MediaTek Inc 2454 | 3,740 TWD | 1,163 TWD | -69% |
| SK Square Co 402340 | 1,212,000 KRW | 868,000 KRW | -28% |
| GigaDevice Semiconductor Inc 3986 | HK$917.50 | HK$540.01 | -41% |
Compare Taiwan Semiconductor Co with another stock
Price, fair value, quality and upside side by side.
Explore undervalued stocks
More undervalued Technology stocks →
Frequently asked questions
Is Taiwan Semiconductor Co (5425) overvalued or undervalued?
What is the fair value of 5425?
What is the quality score of 5425?
What is the revenue of Taiwan Semiconductor Co (5425)?
What is the net profit margin of 5425?
How we calculate Fair Value
Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.
Track Taiwan Semiconductor Co and try Pro for 14 days
One email gets you 14 days of full Pro (review alerts, the 35,000+ stock screener, the diversification check) plus the monthly Top-25 report of the most undervalued quality stocks. No card, cancel anytime.
Zero risk: nothing is ever charged. After 14 days you decide whether to stay.