Question 1

What is TSMC's P/S ratio?

Accepted Answer

TSMC (TSM) P/S ratio is 15.3× as of July 22, 2026. The ratio is calculated by dividing market capitalisation by trailing twelve-month revenue, using USD-normalised financials (IAS 21 exchange-rate translation for non-USD reporters).

Question 2

How is the P/S ratio calculated?

Accepted Answer

P/S = Market Capitalisation ÷ Trailing Twelve-Month (TTM) Revenue, or equivalently Share Price ÷ TTM Revenue Per Share. All inputs are sourced from audited GAAP/IFRS filings and translated to USD using period-end exchange rates so the multiple is comparable across companies and currencies.

Question 3

What is the P/S ratio?

Accepted Answer

The price-to-sales (P/S) ratio compares a company's market capitalisation to its trailing twelve-month (TTM) revenue. It is calculated as market cap ÷ TTM revenue (equivalent to share price ÷ TTM revenue per share). Because the denominator (revenue) cannot be negative, P/S is widely used to value unprofitable or pre-profit companies and to make cross-sector comparisons.

Question 4

What is a good P/S ratio for TSMC?

Accepted Answer

A "good" P/S depends heavily on profit margin and growth: software and other high-margin businesses often command 5–15× sales, while low-margin retailers and commodity producers typically trade below 1×. Compare against sector peers rather than absolute thresholds. For TSMC specifically, the relevant sector benchmark is the current sector median of 5.8×.

Question 5

Is TSMC's P/S ratio high or low?

Accepted Answer

TSMC's P/S ratio of 15.3× is above its own 5-year average of 9.7× and above the sector median of 5.8×. That places the current reading at the 92th percentile of its 10-year history. A higher multiple usually reflects stronger expected growth, lower perceived risk, or higher returns on capital; a lower multiple reflects the opposite.

Question 6

What is TSMC's historical P/S ratio range?

Accepted Answer

In the available daily series, TSMC (TSM) P/S ratio has ranged from a low of 3.8× in 2008 to a high of 19.6× in 2002. The 5-year average is 9.7× and the 5-year median is 10.5×.

Question 7

What was TSMC's P/S ratio in 2025?

Accepted Answer

TSMC (TSM) P/S ratio at the end of 2025 was 12.8×. Annual values reflect the multiple on the last trading day of each calendar year, using the trailing twelve-month revenue figure available at that date.

Question 8

Why does TSMC's P/S ratio change over time?

Accepted Answer

Valuation multiples move with two inputs: the numerator (market capitalisation, which tracks the share price) and the denominator (revenue). Share-price changes — driven by interest rates, earnings expectations, risk appetite, and broader market sentiment — typically dominate short-term moves, while changes in the underlying fundamental drive the longer-term trend. As a result, the ratio can rise during stock-price rallies even if the business itself has not become more valuable, and fall during sell-offs even when fundamentals are improving.


2025	$1.58T	$123B	12.8×	+1.5×	Dec 31, 2025
2024	$1.02T	$90.3B	11.3×	+3.5×	Dec 31, 2024
2023	$545B	$69.5B	7.8×	+2.8×	Dec 31, 2023
2022	$386B	$76B	5.1×	-5.9×	Dec 31, 2022
2021	$624B	$57B	10.9×	-1.4×	Dec 31, 2021
2020	$565B	$45.8B	12.3×	+3.7×	Dec 31, 2020
2019	$301B	$34.7B	8.7×	+3.1×	Dec 31, 2019
2018	$191B	$34.3B	5.6×	-0.8×	Dec 31, 2018
2017	$207B	$32.3B	6.4×	+1.4×	Dec 31, 2017
2016	$149B	$29.5B	5.0×	+0.6×	Dec 31, 2016
2015	$118B	$26.6B	4.4×	-0.2×	Dec 31, 2015
2014	$116B	$25.2B	4.6×	+0.1×	Dec 31, 2014
2013	$90.4B	$20.2B	4.5×	-0.7×	Dec 31, 2013
2012	$89B	$17.1B	5.2×	+0.6×	Dec 31, 2012
2011	$66.9B	$14.5B	4.6×	-0.3×	Dec 31, 2011
2010	$65B	$13.3B	4.9×	-1.6×	Dec 31, 2010
2009	$58.1B	$9.01B	6.5×	+2.6×	Dec 31, 2009
2008	$40.7B	$10.6B	3.8×	-1.5×	Dec 31, 2008
2007	$52.6B	$9.83B	5.4×	-1.9×	Dec 31, 2007
2006	$56.3B	$7.79B	7.2×	+1.3×	Dec 31, 2006
2005	$48.9B	$8.28B	5.9×	+0.7×	Dec 31, 2005
2004	$39.4B	$7.57B	5.2×	-1.6×	Dec 31, 2004
2003	$39.8B	$5.84B	6.8×	+0.9×	Dec 31, 2003
2002	$27.4B	$4.66B	5.9×	—	Dec 31, 2002


GoDaddy (GDDY)	2.2×
Fidelity National Information Services (FIS)	2.1×
Skyworks Solutions (SWKS)	2.1×
Qorvo (QRVO)	1.9×
Zebra Technologies (ZBRA)	1.8×
Gartner (IT)	1.7×
Accenture (ACN)	1.6×
Amkor Technology (AMKR)	1.6×
Block (XYZ)	1.5×
Fiserv (FISV)	1.4×
Cognizant (CTSH)	1.4×
EPAM Systems (EPAM)	1.3×
Optical Cable (OCC)	1.2×
Leidos Holdings (LDOS)	1.2×
Jabil (JBL)	1.1×
Dell Technologies (DELL)	1.0×
Sunrun (RUN)	1.0×
Hewlett Packard Enterprise (HPE)	1.0×
Flex (FLEX)	0.9×
Lyft (LYFT)	0.8×
CDW (CDW)	0.7×
Science Applications International (SAIC)	0.6×
Super Micro Computer (SMCI)	0.4×
HP (HPQ)	0.3×
IBM (IBM)	0.0×

P/S Ratio for TSMC (TSM) 2002-2026

P/S Ratio daily chart for TSMC (TSM)

Historical P/S Ratio for TSMC (TSM) from 2002 to 2025

About P/S Ratio at TSMC (TSM)

TSMC P/S Ratio by Year

TSMC P/S Ratio 2025: 12.8×

TSMC P/S Ratio 2024: 11.3×

TSMC P/S Ratio 2023: 7.8×

TSMC P/S Ratio 2022: 5.1×

TSMC P/S Ratio 2021: 10.9×

Sector peers by P/S Ratio — chart

Sector peers by P/S Ratio — table

Frequently asked questions

TSMC (TSM) Key Financials