Costco Wholesale Corporation (COST) vs Taiwan Semiconductor Manufacturing Company Limited (TSM)

TSM leads on 14 of 16 compared metrics.

A side-by-side comparison of Costco Wholesale Corporation and Taiwan Semiconductor Manufacturing Company Limited across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 13, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).

Total return — COST vs TSM

growth of $100 · last 29y
COST +4987.3%TSM +7621.9%TSM compounded faster
02k4k6k8kStart $10020022007201220172022$5,087$7,722
COST TSM

COST vs TSM: by the numbers

  • TSM is the larger company ($2.20T vs $435.65B market cap).
  • TSM trades at the lower earnings multiple (35.24 vs 49.41 P/E).
  • TSM converts more revenue to profit (46.90% vs 3.01% net margin).
  • TSM grew revenue faster over the past five years (22.49% vs 9.48% CAGR).
  • TSM pays the higher dividend yield (0.83% vs 0.55%).

Which is better, COST or TSM?

Metric tally: COST 2 · TSM 14

It depends on what you're optimizing for:

ValueTSM(lower P/E)
GrowthTSM(faster 5Y revenue CAGR)
IncomeTSM(higher dividend yield)
QualityTSM(higher ROIC)

Valuation

MetricCOSTTSM
P/E ratio49.4135.24
Forward P/E43.40
P/S ratio1.4916.45
P/B ratio13.0311.92
PEG ratio5.230.64
EV / EBITDA29.4320.78
FCF yield2.02%1.62%

Profitability

MetricCOSTTSM
Gross margin12.88%61.78%
Operating margin3.82%53.15%
Net margin3.01%46.90%
ROE26.38%33.98%
ROIC19.44%25.10%

Dividends

MetricCOSTTSM
Dividend yield0.55%0.83%
Payout ratio29.44%33.09%

Growth (annualized)

MetricCOSTTSM
Revenue CAGR (5Y)9.48%22.49%
EPS CAGR (5Y)15.04%25.67%
FCF CAGR (5Y)4.95%30.09%
Total return CAGR (5Y)21.56%30.87%

Frequently asked

Which is better, COST or TSM?
It depends on your goal. value: TSM (lower P/E); growth: TSM (faster 5Y revenue CAGR); income: TSM (higher dividend yield); quality: TSM (higher ROIC). Across all compared metrics, TSM leads 14 to 2.
Is COST or TSM cheaper?
On trailing earnings, TSM is cheaper: COST trades at a 49.41 P/E and TSM at 35.24.
Which has grown faster, COST or TSM?
Over the past five years, TSM grew revenue faster — COST at a 9.48% CAGR versus TSM at 22.49%.
Does COST or TSM pay a bigger dividend?
COST yields 0.55% and TSM yields 0.83% based on trailing dividends and the latest price.
Is COST or TSM more profitable?
TSM runs the higher net margin — COST at 3.01% versus TSM at 46.90%.
Which has been the better investment, COST or TSM?
Over the past 10-year, TSM delivered the higher annualized total return — COST at 21.26% versus TSM at 35.19%. Past performance doesn't predict future results.

Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified June 13, 2026.