Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Taiwan Semiconductor Manufacturing CoTSM +4.33%97 Cyclically Adjusted PS Ratio is 24.04 as of Jul. 21, 2026, which is 130% above its 10-year median of 10.46. GuruFocus rates TSM with a GF Score™ of 97/100 and a GF Value™ of $298.31 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 733 Semiconductors companies, Taiwan Semiconductor Manufacturing Co ranks worse than 92.91% on this metric.
The historical rank and industry rank for Taiwan Semiconductor Manufacturing Co's Cyclically Adjusted PS Ratio or its related term are showing as below:
TSM'
s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 7.47 Med: 10.46 Max: 28.88
Current: 26.33
During the past years, Taiwan Semiconductor Manufacturing Co's highest Cyclically Adjusted PS Ratio was 28.88. The lowest was 7.47. And the median was 10.46.
TSM's Cyclically Adjusted PS Ratio is ranked worse than 92.91% of 733
companies
in the Semiconductors industry
Industry Median: 2.98
vs TSM: 26.33
The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.
Taiwan Semiconductor Manufacturing Co's adjusted revenue per share data for the three months ended in Jun. 2026 was $7.747. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is $17.46 for the trailing ten years ended in Jun. 2026.
Shiller PE for Stocks: The True Measure of Stock Valuation
Taiwan Semiconductor Manufacturing Co (NYSE:TSM) Cyclically Adjusted PS Ratio Explanation
Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.
If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.
Taiwan Semiconductor Manufacturing Co Cyclically Adjusted PS Ratio Related Terms
Taiwan Semiconductor Manufacturing Co Cyclically Adjusted PS Ratio Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Taiwan Semiconductor Manufacturing Co Cyclically Adjusted PS Ratio Chart
TSM vs NVDA, AVGO, MU: Cyclically Adjusted PS Ratio Comparison
For the Semiconductors subindustry, Taiwan Semiconductor Manufacturing Co's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio 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 Cyclically Adjusted PS Ratio vs Semiconductors Industry
For the Semiconductors industry and Technology sector, Taiwan Semiconductor Manufacturing Co's Cyclically Adjusted PS Ratio distribution charts can be found below:
* The bar in red indicates where Taiwan Semiconductor Manufacturing Co's Cyclically Adjusted PS Ratio falls into.
Taiwan Semiconductor Manufacturing Co Cyclically Adjusted PS Ratio Calculation
Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.
The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.
What does a Cyclically Adjusted PS Ratio of 24.04 mean?
Taiwan Semiconductor Manufacturing Co (TSM) has a Cyclically Adjusted PS Ratio of 24.04 as of Jul. 21, 2026. Cyclically Adjusted PS Ratio is the ratio of share price to a company's inflation-adjusted revenue per share over a 10-year period. View historical data on Taiwan Semiconductor Manufacturing Co and its competitors. This is 130% above median its historical median of 10.46. Over the past decade, Taiwan Semiconductor Manufacturing Co's Cyclically Adjusted PS Ratio has ranged from 7.47 to 28.88. According to the industry distribution chart, Taiwan Semiconductor Manufacturing Co ranks #681 out of 733 companies in the Semiconductors industry, placing it in the top 92.9%.
Is Taiwan Semiconductor Manufacturing Co's Cyclically Adjusted PS Ratio too high?
Taiwan Semiconductor Manufacturing Co's current Cyclically Adjusted PS Ratio of 24.04 is 130% above median its 10-year median of 10.46. Over the past 10 years, this metric has ranged from a low of 7.47 to a high of 28.88. The Semiconductors industry median Cyclically Adjusted PS Ratio is 2.98. Taiwan Semiconductor Manufacturing Co's value of 24.04 is 706.7% above this industry median. Based on the distribution chart, Taiwan Semiconductor Manufacturing Co ranks #681 out of 733 companies in the Semiconductors industry, which is in the bottom quartile relative to peers. Overall, Taiwan Semiconductor Manufacturing Co has a GF Score™ of 97/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Taiwan Semiconductor Manufacturing Co's Cyclically Adjusted PS Ratio compare to NVDA and AVGO?
According to the Semiconductors industry distribution chart, Taiwan Semiconductor Manufacturing Co ranks #681 out of 733 companies for Cyclically Adjusted PS Ratio. This places Taiwan Semiconductor Manufacturing Co in the lower half of its industry. The industry median Cyclically Adjusted PS Ratio is 2.98. Taiwan Semiconductor Manufacturing Co's value of 24.04 is 706.7% above this benchmark. Historically, Taiwan Semiconductor Manufacturing Co's own Cyclically Adjusted PS Ratio has ranged from 7.47 to 28.88 over the past decade. While the company's 10-year median is 10.46 vs. the industry median of 2.98, 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 Cyclically Adjusted PS Ratio for a Semiconductors company?
The median Cyclically Adjusted PS Ratio among Semiconductors companies is 2.98, based on 733 companies in the industry. Companies in the top quartile (top 25%) have a Cyclically Adjusted PS Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cyclically Adjusted PS Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Taiwan Semiconductor Manufacturing Co's current Cyclically Adjusted PS Ratio of 24.04 is 706.7% 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 Cyclically Adjusted PS Ratio mean?
A high Cyclically Adjusted PS Ratio can signal that a stock is expensive relative to its fundamentals. Cyclically Adjusted PS Ratio is the ratio of share price to a company's inflation-adjusted revenue per share over a 10-year period. View historical data on Taiwan Semiconductor Manufacturing Co and its competitors. For the Semiconductors industry, the median Cyclically Adjusted PS Ratio is 2.98 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Taiwan Semiconductor Manufacturing Co's current Cyclically Adjusted PS Ratio is 24.04, which is 130% above median its own 10-year median of 10.46. 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 Significantly Overvalued. The stock's GF Value™ is $298.31, compared to a current price of $419.72 — trading 40.7% above its estimated fair value. The current Cyclically Adjusted PS Ratio is 24.04, which is 130% above median its 10-year median of 10.46 and 706.7% above the Semiconductors industry median of 2.98. Taiwan Semiconductor Manufacturing Co's overall GF Score™ is 97/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cyclically Adjusted PS Ratio calculated?
Cyclically Adjusted PS Ratio is calculated from a company's financial statements. For Taiwan Semiconductor Manufacturing Co (TSM), the current Cyclically Adjusted PS Ratio is 24.04 as of Jul. 21, 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 $419.72 is trading 40.7% above its estimated GF Value™ of $298.31.
GuruFocus considers Taiwan Semiconductor Manufacturing Co to be Significantly Overvalued.
Key valuation signals for TSM:
Cyclically Adjusted PS Ratio: 24.04 (130% above median its 10-year median of 10.46)
GF Value™: $298.31 vs. price of $419.72 (40.7% above fair value)
Industry Position: 706.7% above the Semiconductors median (#681 of 733)
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 Business Description
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.
97GF Score
Get the complete analysis for TSM
Cyclically Adjusted PS Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
TSM has been successfully added to your 
