Micron Technology, Inc. (MU) vs Taiwan Semiconductor Manufacturing Company Ltd. (TSM)

Micron Technology, Inc. and Taiwan Semiconductor Manufacturing Company Ltd. are both Semiconductors companies. Taiwan Semiconductor Manufacturing Company Ltd. is the larger, with a market value of $2.36T against $1.24T — 1.9× the size. Micron Technology, Inc. trades at the lower P/E: 24.2× against 32.5×. Micron Technology, Inc. grew revenue faster over the last twelve months: 167.0% against 35.6%. Micron Technology, Inc. has the higher net margin (55.9% vs 49.9%) and the higher return on invested capital (46.0% vs 39.7%). Both pay a dividend; Taiwan Semiconductor Manufacturing Company Ltd. yields more (1.64% vs 0.50%). Across the 23 metrics below, Micron Technology, Inc. leads on 19 and Taiwan Semiconductor Manufacturing Company Ltd. on 4.

Valuation

Metric MU TSM Semiconductors median
P/E 24.16 32.51 49.41
P/S 13.52 16.50 8.58
P/B 12.12 11.39 5.49
Price to free cash flow 46.65 65.78 47.02
EV/EBITDA 17.59 22.33 30.78
EV/Sales 13.30 15.93 8.79
Earnings yield 4.14% 3.08% 0.62%
Free cash flow yield 2.14% 1.52% 0.59%

Profitability

Metric MU TSM Semiconductors median
Gross margin 72.57% 64.20% 52.25%
Operating margin 65.63% 56.05% 4.85%
Net margin 55.91% 49.88% 4.77%
Free cash flow margin 28.99% 25.08% 8.65%
Return on equity 66.64% 39.78% 3.11%
Return on assets 47.50% 26.93% 1.91%
Return on invested capital 46.04% 39.72% 2.46%

Growth

Metric MU TSM Semiconductors median
Revenue growth (TTM) 166.98% 35.61% 16.66%
EPS growth (last fiscal year) 984.29% 51.28% —
Revenue growth, 5-year CAGR 11.76% 20.55% 5.60%
Net income growth, 5-year CAGR 26.02% 24.37% 0.00%

Health

Metric MU TSM Semiconductors median
Debt to equity 0.06 0.16 0.05
Current ratio 3.42 2.46 3.35
Net debt to EBITDA 0.24 (0.79) 0.58

Dividend

Metric MU TSM Semiconductors median
Dividend yield 0.50% 1.64% 1.93%
Payout ratio 0.05 0.30 0.00

Size

Metric MU TSM Semiconductors median
Market cap 1.24t 2.36t 5.67b

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