Lam Research Corporation (LRCX) vs Taiwan Semiconductor Manufacturing Company Limited (TSM)

A side-by-side comparison of Lam Research Corporation and Taiwan Semiconductor Manufacturing Company Limited across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of July 30, 2026. Differences are shown without an overall score or investment verdict.

Compare

Total returnLRCX vs TSM

growth of $100 · dividends reinvested · last 29y
LRCX +19063.0%TSM +13021.4%LRCX compounded faster
010k20k30kStart $10020022007201220172022$19,163$13,121
LRCX TSM

LRCX vs TSM: by the numbers

  • TSM is the larger company ($2.07T vs $380.16B market cap).
  • TSM trades at the lower trailing earnings multiple (27.13 vs 43.81 P/E), one valuation lens rather than an overall verdict.
  • TSM converts more revenue to profit (50.32% vs 31.27% net margin).
  • TSM grew revenue faster over the past five years (22.50% vs 11.25% CAGR).
  • TSM pays the higher dividend yield (0.93% vs 0.41%).

Metrics side by side

Valuation

MetricLRCXTSM
P/E ratio43.8127.13
Forward P/E44.31N/A
P/S ratio13.7013.74
P/B ratio25.529.63
PEG ratio1.830.65
EV / EBITDA36.6118.55
FCF yield1.54%1.94%

Profitability

MetricLRCXTSM
Gross margin50.47%64.17%
Operating margin35.29%55.97%
Net margin31.27%50.32%
ROE58.26%35.29%
ROIC40.98%25.10%

Dividends

MetricLRCXTSM
Dividend yield0.41%0.93%
Payout ratio17.96%32.94%

Growth (annualized)

MetricLRCXTSM
Revenue CAGR (5Y)11.25%22.50%
EPS CAGR (5Y)16.30%25.67%
FCF CAGR (5Y)12.22%33.46%
Total return CAGR (5Y)33.81%28.08%

Frequently asked

Which has the lower trailing P/E, LRCX or TSM?
TSM has the lower trailing P/E: LRCX trades at 43.81 and TSM at 27.13. P/E is one valuation measure and does not by itself establish which business is cheaper.
Which has grown faster, LRCX or TSM?
Over the past five years, TSM grew revenue faster — LRCX at a 11.25% CAGR versus TSM at 22.50%.
Does LRCX or TSM pay a bigger dividend?
LRCX yields 0.41% and TSM yields 0.93% based on trailing dividends and the latest price.
Is LRCX or TSM more profitable?
TSM runs the higher net margin — LRCX at 31.27% versus TSM at 50.32%.
How have LRCX and TSM total returns compared?
Over the past 10 years, LRCX delivered 41.48% and TSM delivered 32.11% annualized total return. 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 July 30, 2026.