Taiwan Semiconductor Manufacturing Company (NYSE: TSM) is the world's largest contract chip maker. It produces essential semiconductors for major technology firms like Apple (NASDAQ: AAPL). The company is a critical player in the global supply chain, especially for advanced chips used in artificial intelligence (AI) applications.
On April 16, 2026, Taiwan Semiconductor Manufacturing Company announced strong quarterly results. It reported earnings of $3.49 per share, beating the analyst consensus estimate of $3.31. This performance was part of a 58% jump in first-quarter net profit, as highlighted by Reuters, marking a fourth straight quarter of record profits for the company.
The company also posted quarterly revenue of $35.86 billion, which surpassed the analyst estimate of $35.35 billion. This represents a 35% year-over-year increase. As noted by CNBC, this growth is driven by strong and sustained demand for the company's artificial intelligence chips, a trend also confirmed by the WSJ.
Based on its recent performance, Taiwan Semiconductor Manufacturing Company has a Price-to-Earnings (P/E) ratio of 35.63. This metric suggests investors are willing to pay $35.63 for every dollar of the company's earnings. The company's Price-to-Sales (P/S) ratio is 16.07, comparing its stock price to its total sales.
From a financial health perspective, Taiwan Semiconductor Manufacturing Company maintains a low debt-to-equity ratio of 0.20, indicating it relies more on owner's funds than debt. The company also has a current ratio of 2.62. This shows it has more than enough liquid assets to cover its short-term financial obligations.
