HAM:TSFA'
s Pretax Margin % Range Over the Past 10 Years
Min: 36.44 Med: 42.72 Max: 56.01
Current: 56.01
HAM:TSFA's Pretax Margin % is ranked better than 98.14% of 1021
companies
in the Semiconductors industry
Industry Median: 5.07
vs HAM:TSFA: 56.01
Taiwan Semiconductor Manufacturing Co (HAM:TSFA) Pretax Margin % Explanation
The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.
The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.
It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.
The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.
Taiwan Semiconductor Manufacturing Co Pretax Margin % Related Terms
Taiwan Semiconductor Manufacturing Co Pretax Margin % 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 Pretax Margin % Chart
HAM:TSFA vs NVDA, AVGO, MU: Pretax Margin % Comparison
For the Semiconductors subindustry, Taiwan Semiconductor Manufacturing Co's Pretax Margin %, along with its competitors' market caps and Pretax Margin % 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 Pretax Margin % vs Semiconductors Industry
For the Semiconductors industry and Technology sector, Taiwan Semiconductor Manufacturing Co's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Taiwan Semiconductor Manufacturing Co's Pretax Margin % falls into.
* 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 (HAM:TSFA) has a Pretax Margin % of 60.65% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Taiwan Semiconductor Manufacturing Co and its competitors. This is 42% above median its historical median of 42.72. Over the past decade, Taiwan Semiconductor Manufacturing Co's Pretax Margin % has ranged from 36.44 to 56.01. According to the industry distribution chart, Taiwan Semiconductor Manufacturing Co ranks #19 out of 1021 companies in the Semiconductors industry, placing it in the top 1.9%.
Is Taiwan Semiconductor Manufacturing Co's Pretax Margin % too high?
Taiwan Semiconductor Manufacturing Co's current Pretax Margin % of 60.65% is 42% above median its 10-year median of 42.72. Over the past 10 years, this metric has ranged from a low of 36.44 to a high of 56.01. The Semiconductors industry median Pretax Margin % is 5.07. Taiwan Semiconductor Manufacturing Co's value of 60.65% is 1096.3% above this industry median. Based on the distribution chart, Taiwan Semiconductor Manufacturing Co ranks #19 out of 1021 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 88/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Taiwan Semiconductor Manufacturing Co's Pretax Margin % compare to NVDA and AVGO?
According to the Semiconductors industry distribution chart, Taiwan Semiconductor Manufacturing Co ranks #19 out of 1021 companies for Pretax Margin %. This places Taiwan Semiconductor Manufacturing Co in the top 2% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 5.07. Taiwan Semiconductor Manufacturing Co's value of 60.65% is 1096.3% above this benchmark. Historically, Taiwan Semiconductor Manufacturing Co's own Pretax Margin % has ranged from 36.44 to 56.01 over the past decade. While the company's 10-year median is 42.72 vs. the industry median of 5.07, 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 Pretax Margin % for a Semiconductors company?
The median Pretax Margin % among Semiconductors companies is 5.07, based on 1,021 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Taiwan Semiconductor Manufacturing Co's current Pretax Margin % of 60.65% is 1096.3% 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 Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Taiwan Semiconductor Manufacturing Co and its competitors. For the Semiconductors industry, the median Pretax Margin % is 5.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Taiwan Semiconductor Manufacturing Co's current Pretax Margin % is 60.65%, which is 42% above median its own 10-year median of 42.72. 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 (HAM:TSFA) is currently considered Significantly Overvalued. The stock's GF Value™ is €256.38, compared to a current price of €366.00 — trading 42.8% above its estimated fair value. The current Pretax Margin % is 60.65%, which is 42% above median its 10-year median of 42.72 and 1096.3% above the Semiconductors industry median of 5.07. Taiwan Semiconductor Manufacturing Co's overall GF Score™ is 88/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For Taiwan Semiconductor Manufacturing Co (HAM:TSFA), the current Pretax Margin % is 60.65% as of Mar. 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 (HAM:TSFA) Overvalued in 2026?
Based on GuruFocus' analysis, Taiwan Semiconductor Manufacturing Co stock appears to be overvalued.
The current stock price of €366.00 is trading 42.8% above its estimated GF Value™ of €256.38.
GuruFocus considers Taiwan Semiconductor Manufacturing Co to be Significantly Overvalued.
Key valuation signals for HAM:TSFA:
Pretax Margin %: 60.65% (42% above median its 10-year median of 42.72)
GF Value™: €256.38 vs. price of €366.00 (42.8% above fair value)
Industry Position: 1096.3% above the Semiconductors median (#19 of 1021)
No single metric tells the full story. See the HAM:TSFA 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.
88GF Score
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