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Taiwan Semiconductor Manufacturing CoTSM +1.70%98 3-Year Book Growth Rate is 22.60% as of Jun. 2026, which is 69% above its 10-year median of 13.35. GuruFocus rates TSM with a GF Score™ of 98/100 and a GF Value™ of $363.40 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 986 Semiconductors companies, Taiwan Semiconductor Manufacturing Co ranks better than 85.6% on this metric.
During the past 12 months, Taiwan Semiconductor Manufacturing Co's average Book Value per Share Growth Rate was 40.40% per year.
During the past 3 years, the average Book Value per Share Growth Rate was 22.60% per year.
During the past 5 years, the average Book Value per Share Growth Rate was 24.10% per year.
During the past 10 years, the average Book Value per Share Growth Rate was 15.60% per year.
Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the average Book Value per Share growth rate.
During the past 13 years, the highest 3-Year average Book Value per Share Growth Rate of Taiwan Semiconductor Manufacturing Co was 41.80% per year. The lowest was 2.30% per year. And the median was 13.35% per year.
Taiwan Semiconductor Manufacturing Co (NYSE:TSM) 3-Year Book Growth Rate Explanation
Book Value per Share is the ratio of equity available to common shareholders divided by the shares outstanding. Book value per share effectively indicates a firm's net asset value on a per-share basis. It can be used by investors to gauge whether a stock price is undervalued by comparing it to the firm's market value per share. Theoretically, it is what the shareholders will receive if the company is liquidated.
Taiwan Semiconductor Manufacturing Co 3-Year Book Growth Rate Related Terms
TSM vs NVDA, AVGO, MU: 3-Year Book Growth Rate Comparison
For the Semiconductors subindustry, Taiwan Semiconductor Manufacturing Co's 3-Year Book Growth Rate, along with its competitors' market caps and 3-Year Book Growth Rate data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Taiwan Semiconductor Manufacturing Co 3-Year Book Growth Rate vs Semiconductors Industry
For the Semiconductors industry and Technology sector, Taiwan Semiconductor Manufacturing Co's 3-Year Book Growth Rate distribution charts can be found below:
* The bar in red indicates where Taiwan Semiconductor Manufacturing Co's 3-Year Book Growth Rate falls into.
Taiwan Semiconductor Manufacturing Co 3-Year Book Growth Rate Calculation
This is the 3-year average growth rate of Book Value per Share. The growth rate is calculated using exponential compounding based on the latest four year annual data.
Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the average Book Value per Share growth rate.
What does a 3-Year Book Growth Rate of 22.60% mean?
Taiwan Semiconductor Manufacturing Co (TSM) has a 3-Year Book Growth Rate of 22.60% as of Jun. 2026. 3-Year Book Growth Rate is the 3-year average growth rate of Book Value per Share. View historical data for Taiwan Semiconductor Manufacturing Co and its competitors. This is 69% above median its historical median of 13.35. Over the past decade, Taiwan Semiconductor Manufacturing Co's 3-Year Book Growth Rate has ranged from 2.30 to 41.80. According to the industry distribution chart, Taiwan Semiconductor Manufacturing Co ranks #142 out of 986 companies in the Semiconductors industry, placing it in the top 14.4%.
Is Taiwan Semiconductor Manufacturing Co's 3-Year Book Growth Rate too high?
Taiwan Semiconductor Manufacturing Co's current 3-Year Book Growth Rate of 22.60% is 69% above median its 10-year median of 13.35. Over the past 10 years, this metric has ranged from a low of 2.30 to a high of 41.80. The Semiconductors industry median 3-Year Book Growth Rate is 4.55. Taiwan Semiconductor Manufacturing Co's value of 22.60% is 396.7% above this industry median. Based on the distribution chart, Taiwan Semiconductor Manufacturing Co ranks #142 out of 986 companies in the Semiconductors industry, which is in the top quartile — a strong position relative to peers. Overall, Taiwan Semiconductor Manufacturing Co has a GF Score™ of 98/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Taiwan Semiconductor Manufacturing Co's 3-Year Book Growth Rate compare to NVDA and AVGO?
According to the Semiconductors industry distribution chart, Taiwan Semiconductor Manufacturing Co ranks #142 out of 986 companies for 3-Year Book Growth Rate. This places Taiwan Semiconductor Manufacturing Co in the top 14% of its industry — outperforming the majority of peers. The industry median 3-Year Book Growth Rate is 4.55. Taiwan Semiconductor Manufacturing Co's value of 22.60% is 396.7% above this benchmark. Historically, Taiwan Semiconductor Manufacturing Co's own 3-Year Book Growth Rate has ranged from 2.30 to 41.80 over the past decade. While the company's 10-year median is 13.35 vs. the industry median of 4.55, Taiwan Semiconductor Manufacturing Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year Book Growth Rate for a Semiconductors company?
The median 3-Year Book Growth Rate among Semiconductors companies is 4.55, based on 986 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year Book Growth Rate significantly above this median, while those in the bottom quartile fall well below. However, 3-Year Book Growth Rate should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Taiwan Semiconductor Manufacturing Co's current 3-Year Book Growth Rate of 22.60% is 396.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year Book Growth Rate mean?
A high 3-Year Book Growth Rate can signal that a stock is expensive relative to its fundamentals. 3-Year Book Growth Rate is the 3-year average growth rate of Book Value per Share. View historical data for Taiwan Semiconductor Manufacturing Co and its competitors. For the Semiconductors industry, the median 3-Year Book Growth Rate is 4.55 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Taiwan Semiconductor Manufacturing Co's current 3-Year Book Growth Rate is 22.60%, which is 69% above median its own 10-year median of 13.35. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Taiwan Semiconductor Manufacturing Co stock overvalued right now?
Based on GuruFocus' analysis, Taiwan Semiconductor Manufacturing Co (TSM) is currently considered Modestly Overvalued. The stock's GF Value™ is $363.40, compared to a current price of $442.04 — trading 21.6% above its estimated fair value. The current 3-Year Book Growth Rate is 22.60%, which is 69% above median its 10-year median of 13.35 and 396.7% above the Semiconductors industry median of 4.55. Taiwan Semiconductor Manufacturing Co's overall GF Score™ is 98/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year Book Growth Rate calculated?
3-Year Book Growth Rate is calculated from a company's financial statements. For Taiwan Semiconductor Manufacturing Co (TSM), the current 3-Year Book Growth Rate is 22.60% as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Taiwan Semiconductor Manufacturing Co (TSM) Overvalued in 2026?
Based on GuruFocus' analysis, Taiwan Semiconductor Manufacturing Co stock appears to be overvalued.
The current stock price of $442.04 is trading 21.6% above its estimated GF Value™ of $363.40.
GuruFocus considers Taiwan Semiconductor Manufacturing Co to be Modestly Overvalued.
Key valuation signals for TSM:
3-Year Book Growth Rate: 22.60% (69% above median its 10-year median of 13.35)
GF Value™: $363.40 vs. price of $442.04 (21.6% above fair value)
Industry Position: 396.7% above the Semiconductors median (#142 of 986)
No single metric tells the full story. See the TSM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Taiwan Semiconductor Manufacturing Co. is the world's largest dedicated chip foundry, with about 70% market share in 2025. TSMC was founded in 1987 as a joint venture of Philips, the government of Taiwan, and private investors. It went public in Taiwan in 1994 and as an ADR in the US in 1997. TSMC's scale and high-quality technology allow the firm to generate solid operating margins, even in the highly competitive foundry business. Furthermore, the shift to the fabless business model has created tailwinds for TSMC. The foundry leader has an illustrious base of customers, including Apple, AMD, and Nvidia, that look to apply its cutting-edge process technologies to their semiconductor designs. TSMC employs more than 83,000 people.
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