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TSM vs. MRK
Performance
Return for Risk
Drawdowns
Volatility
Dividends
Financials

Performance

TSM vs. MRK - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Taiwan Semiconductor Manufacturing Company Limited (TSM) and Merck & Co., Inc. (MRK). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, TSM achieves a 37.00% return, which is significantly higher than MRK's 15.60% return. Over the past 10 years, TSM has outperformed MRK with an annualized return of 35.23%, while MRK has yielded a comparatively lower 11.69% annualized return.


TSM

1D
-6.69%
1M
-1.03%
YTD
37.00%
6M
41.63%
1Y
106.65%
3Y*
63.20%
5Y*
30.42%
10Y*
35.23%

MRK

1D
0.44%
1M
6.37%
YTD
15.60%
6M
23.07%
1Y
61.27%
3Y*
6.37%
5Y*
13.79%
10Y*
11.69%
*Multi-year figures are annualized to reflect compound growth (CAGR)

TSM vs. MRK - Yearly Performance Comparison


2026 (YTD)202520242023202220212020201920182017
TSM
Taiwan Semiconductor Manufacturing Company Limited
37.00%55.91%92.58%42.33%-36.75%12.09%92.67%64.85%-3.50%41.46%
MRK
Merck & Co., Inc.
15.60%9.79%-6.26%1.01%49.42%1.75%-7.20%22.27%39.95%-1.49%

Correlation

The correlation between TSM and MRK is 0.04, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.


Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.04

Correlation (3Y)
Calculated over the trailing 3-year period

-0.04

Correlation (5Y)
Calculated over the trailing 5-year period

-0.03

Correlation (10Y)
Calculated over the trailing 10-year period

0.06

Correlation (All Time)
Calculated using the full available price history since Oct 10, 1997

0.19

The correlation between TSM and MRK shifts across timeframes, from -0.04 (3 years) to 0.19 (all time), reflecting how their relationship changes across market environments.

Fundamentals

Market Cap

TSM:

$2.15T

MRK:

$298.59B

EPS

TSM:

$373.98

MRK:

$3.58

PE Ratio

TSM:

1.11

MRK:

33.70

PEG Ratio

TSM:

0.03

MRK:

0.03

PS Ratio

TSM:

0.52

MRK:

4.59

PB Ratio

TSM:

0.37

MRK:

6.51

Total Revenue (TTM)

TSM:

$4.13T

MRK:

$65.59B

Gross Profit (TTM)

TSM:

$2.55T

MRK:

$49.79B

EBITDA (TTM)

TSM:

$3.14T

MRK:

$22.69B

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Return for Risk

TSM vs. MRK — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

TSM
TSM Risk / Return Rank: 9393
Overall Rank
TSM Sharpe Ratio Rank: 9494
Sharpe Ratio Rank
TSM Sortino Ratio Rank: 9292
Sortino Ratio Rank
TSM Omega Ratio Rank: 9090
Omega Ratio Rank
TSM Calmar Ratio Rank: 9393
Calmar Ratio Rank
TSM Martin Ratio Rank: 9696
Martin Ratio Rank

MRK
MRK Risk / Return Rank: 9090
Overall Rank
MRK Sharpe Ratio Rank: 9090
Sharpe Ratio Rank
MRK Sortino Ratio Rank: 9090
Sortino Ratio Rank
MRK Omega Ratio Rank: 8787
Omega Ratio Rank
MRK Calmar Ratio Rank: 9292
Calmar Ratio Rank
MRK Martin Ratio Rank: 9191
Martin Ratio Rank
The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

TSM vs. MRK - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Taiwan Semiconductor Manufacturing Company Limited (TSM) and Merck & Co., Inc. (MRK). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.


TSMMRKDifference
Sharpe ratioReturn per unit of total volatility

+0.70

Sortino ratioReturn per unit of downside risk

+0.30

Omega ratioGain probability vs. loss probability

1.43

1.39

+0.04

Calmar ratioReturn relative to maximum drawdown

5.91

5.42

+0.49

Martin ratioReturn relative to average drawdown

21.20

13.58

+7.62

TSM vs. MRK - Sharpe Ratio Comparison

The current TSM Sharpe Ratio is 2.96, which is higher than the MRK Sharpe Ratio of 2.26. The chart below compares the historical Sharpe Ratios of TSM and MRK, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.


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Sharpe Ratios by Period


TSMMRKDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

2.96

2.26

+0.70

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.82

0.58

+0.23

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

1.03

0.51

+0.52

Sharpe Ratio (All Time)

Calculated using the full available price history

0.36

0.48

-0.12

Drawdowns

TSM vs. MRK - Drawdown Comparison

The maximum TSM drawdown since its inception was -89.08%, which is greater than MRK's maximum drawdown of -68.61%. Use the drawdown chart below to compare losses from any high point for TSM and MRK.


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Drawdown Indicators


TSMMRKDifference

Max Drawdown

Largest peak-to-trough decline

-89.08%

-68.61%

-20.47%

Max Drawdown (1Y)

Largest decline over 1 year

-18.14%

-11.37%

-6.77%

Max Drawdown (3Y)

Largest decline over 3 years

-36.82%

-43.44%

+6.62%

Max Drawdown (5Y)

Largest decline over 5 years

-56.47%

-43.44%

-13.03%

Max Drawdown (10Y)

Largest decline over 10 years

-56.47%

-43.44%

-13.03%

Current Drawdown

Current decline from peak

-7.06%

-3.64%

-3.42%

Average Drawdown

Average peak-to-trough decline

-42.88%

-18.84%

-24.04%

Ulcer Index

Depth and duration of drawdowns from previous peaks

5.05%

4.52%

+0.53%

Volatility

TSM vs. MRK - Volatility Comparison

Taiwan Semiconductor Manufacturing Company Limited (TSM) has a higher volatility of 12.23% compared to Merck & Co., Inc. (MRK) at 9.45%. This indicates that TSM's price experiences larger fluctuations and is considered to be riskier than MRK based on this measure. The chart below showcases a comparison of their rolling one-month volatility.


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Volatility by Period


TSMMRKDifference

Volatility (1M)

Calculated over the trailing 1-month period

12.23%

9.45%

+2.78%

Volatility (6M)

Calculated over the trailing 6-month period

28.14%

18.16%

+9.98%

Volatility (1Y)

Calculated over the trailing 1-year period

36.25%

27.28%

+8.97%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

37.38%

23.71%

+13.67%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

34.18%

22.96%

+11.22%

Dividends

TSM vs. MRK - Dividend Comparison

TSM's dividend yield for the trailing twelve months is around 0.80%, less than MRK's 2.75% yield.


PositionTTM20252024202320222021202020192018201720162015
MRK
Merck & Co., Inc.
2.75%3.12%3.14%2.72%2.52%3.41%3.03%2.48%2.60%3.36%3.14%3.43%
TSM
Taiwan Semiconductor Manufacturing Company Limited
0.80%1.00%1.18%1.78%2.49%1.57%1.56%3.46%3.64%2.32%2.61%2.54%

Financials

TSM vs. MRK - Financials Comparison

This section allows you to compare key financial metrics between Taiwan Semiconductor Manufacturing Company Limited and Merck & Co., Inc.. You can select fields from income statements, balance sheets, and cash flow statements to easily visualize and compare the financial health of both companies.


Quarterly
Annual

Total Revenue: Total amount of money received from sales and other business activities


0.00200.00B400.00B600.00B800.00B1.00T1.20T20222023202420252026
1.15T
16.29B
(TSM) Total Revenue
(MRK) Total Revenue
Values in USD except per share items

TSM vs. MRK - Profitability Comparison

The chart below illustrates the profitability comparison between Taiwan Semiconductor Manufacturing Company Limited and Merck & Co., Inc. over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

Gross Margin
Operating Margin
Net Margin
Quarterly
Annual

50.0%55.0%60.0%65.0%70.0%75.0%80.0%85.0%20222023202420252026
66.3%
81.9%
Portfolio components
TSM - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Taiwan Semiconductor Manufacturing Company Limited reported a gross profit of 759.06B and revenue of 1.15T. Therefore, the gross margin over that period was 66.3%.

MRK - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Merck & Co., Inc. reported a gross profit of 13.34B and revenue of 16.29B. Therefore, the gross margin over that period was 81.9%.

TSM - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Taiwan Semiconductor Manufacturing Company Limited reported an operating income of 664.08B and revenue of 1.15T, resulting in an operating margin of 58.0%.

MRK - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Merck & Co., Inc. reported an operating income of -1.88B and revenue of 16.29B, resulting in an operating margin of -11.6%.

TSM - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Taiwan Semiconductor Manufacturing Company Limited reported a net income of 578.40B and revenue of 1.15T, resulting in a net margin of 50.5%.

MRK - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Merck & Co., Inc. reported a net income of -4.24B and revenue of 16.29B, resulting in a net margin of -26.0%.


Frequently Asked Questions


TSM and MRK have a correlation of 0.04, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

TSM has higher volatility (12.23%) compared to MRK (9.45%). In terms of maximum drawdown, TSM dropped -89.08% vs MRK's -68.61%.

TSM currently has the higher Sharpe Ratio (2.96 vs 2.26), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.

Portfolio Optimizer

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