TSM vs. MU

Last updated Jun 23, 2026

TSM (Taiwan Semiconductor Manufacturing Company Limited) and MU (Micron Technology, Inc.) are both stocks. Both operate in the Semiconductors industry within the Technology sector. Over the past 10 years, TSM returned 37.08%/yr vs 57.52%/yr for MU. A 0.50 correlation means they provide meaningful diversification when combined.

Performance

TSM vs. MU - Performance Comparison

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

Returns By Period

In the year-to-date period, TSM achieves a 54.69% return, which is significantly lower than MU's 324.61% return. Over the past 10 years, TSM has underperformed MU with an annualized return of 37.08%, while MU has yielded a comparatively higher 57.52% annualized return.

TSM

• 1D: 1.20%
• 1M: 15.88%
• YTD: 54.69%
• 6M: 60.28%
• 1Y: 125.65%
• 3Y*: 68.53%
• 5Y*: 34.31%
• 10Y*: 37.08%

MU

• 1D: 6.82%
• 1M: 61.30%
• YTD: 324.61%
• 6M: 338.33%
• 1Y: 882.43%
• 3Y*: 165.88%
• 5Y*: 73.49%
• 10Y*: 57.52%

*Multi-year figures are annualized to reflect compound growth (CAGR)

TSM vs. MU - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
TSM Taiwan Semiconductor Manufacturing Company Limited	54.69%	55.91%	92.58%	42.33%	-36.75%	12.09%	92.67%	64.85%	-3.50%	41.46%
MU Micron Technology, Inc.	324.61%	240.24%	-0.96%	71.93%	-45.93%	24.21%	39.79%	69.49%	-22.84%	87.59%

Correlation

The correlation between TSM and MU is 0.57, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.57
Correlation (3Y) Calculated over the trailing 3-year period	0.59
Correlation (5Y) Calculated over the trailing 5-year period	0.63
Correlation (10Y) Calculated over the trailing 10-year period	0.59
Correlation (All Time) Calculated using the full available price history since Oct 9, 1997	0.50

The correlation between TSM and MU shifts across timeframes, from 0.50 (all time) to 0.63 (5 years), reflecting how their relationship changes across market environments.

Fundamentals

Market Cap TSM : $2.43T MU : $1.38T
EPS TSM : NT$373.98 MU : $21.26
PE Ratio TSM : 39.52 MU : 56.99
PEG Ratio TSM : 1.14 MU : 0.21
PS Ratio TSM : 18.58 MU : 23.64
PB Ratio TSM : 13.01 MU : 19.06
Total Revenue (TTM) TSM : NT$4.13T MU : $58.12B
Gross Profit (TTM) TSM : NT$2.55T MU : $33.96B
EBITDA (TTM) TSM : NT$3.14T MU : $25.99B

Return for Risk

TSM vs. MU — Risk / Return Rank

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

TSM

TSM Risk / Return Rank: 95
TSM Sharpe Ratio Rank: 97
TSM Sortino Ratio Rank: 95
TSM Omega Ratio Rank: 93
TSM Calmar Ratio Rank: 95
TSM Martin Ratio Rank: 97

MU

MU Risk / Return Rank: 99
MU Sharpe Ratio Rank: 100
MU Sortino Ratio Rank: 99
MU Omega Ratio Rank: 98
MU Calmar Ratio Rank: 100
MU Martin Ratio Rank: 100

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. MU - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Taiwan Semiconductor Manufacturing Company Limited (TSM) and Micron Technology, Inc. (MU). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	TSM	MU	Difference
Sharpe ratio: Return per unit of total volatility	3.37	12.50	-9.13
Sortino ratio: Return per unit of downside risk	3.86	6.48	-2.62
Omega ratio: Gain probability vs. loss probability	1.47	1.82	-0.35
Calmar ratio: Return relative to maximum drawdown	6.97	29.44	-22.48
Martin ratio: Return relative to average drawdown	24.65	111.67	-87.02

TSM vs. MU - Sharpe Ratio Comparison

The current TSM Sharpe Ratio is 3.37, which is lower than the MU Sharpe Ratio of 12.50. The chart below compares the historical Sharpe Ratios of TSM and MU, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

TSM vs. MU - Drawdown Comparison

The maximum TSM drawdown since its inception was -89.08%, smaller than the maximum MU drawdown of -98.25%. Use the drawdown chart below to compare losses from any high point for TSM and MU.

Drawdown Indicators

	TSM	MU	Difference
Max Drawdown Largest peak-to-trough decline	-89.08%	-98.25%	+9.17%
Max Drawdown (1Y) Largest decline over 1 year	-18.14%	-30.28%	+12.14%
Max Drawdown (3Y) Largest decline over 3 years	-36.82%	-57.63%	+20.81%
Max Drawdown (5Y) Largest decline over 5 years	-56.47%	-57.63%	+1.16%
Max Drawdown (10Y) Largest decline over 10 years	-56.47%	-57.63%	+1.16%
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-42.82%	-58.13%	+15.31%
Ulcer Index Depth and duration of drawdowns from previous peaks	5.12%	7.97%	-2.85%

Volatility

TSM vs. MU - Volatility Comparison

The current volatility for Taiwan Semiconductor Manufacturing Company Limited (TSM) is 14.47%, while Micron Technology, Inc. (MU) has a volatility of 33.47%. This indicates that TSM experiences smaller price fluctuations and is considered to be less risky than MU based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TSM	MU	Difference
Volatility (1M) Calculated over the trailing 1-month period	14.47%	33.47%	-19.00%
Volatility (6M) Calculated over the trailing 6-month period	29.15%	58.69%	-29.54%
Volatility (1Y) Calculated over the trailing 1-year period	37.56%	71.47%	-33.91%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	37.65%	53.67%	-16.02%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	34.35%	50.30%	-15.95%

Dividends

TSM vs. MU - Dividend Comparison

TSM's dividend yield for the trailing twelve months is around 0.75%, more than MU's 0.04% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
MU Micron Technology, Inc.	0.04%	0.16%	0.55%	0.54%	0.89%	0.21%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
TSM Taiwan Semiconductor Manufacturing Company Limited	0.75%	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. MU - Profitability Comparison

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

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%.

MU - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Micron Technology, Inc. reported a gross profit of 17.75B and revenue of 23.86B. Therefore, the gross margin over that period was 74.4%.

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%.

MU - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Micron Technology, Inc. reported an operating income of 16.13B and revenue of 23.86B, resulting in an operating margin of 67.6%.

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%.

MU - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Micron Technology, Inc. reported a net income of 13.79B and revenue of 23.86B, resulting in a net margin of 57.8%.

Frequently Asked Questions

Can I hold both TSM and MU in my portfolio?

TSM and MU have a correlation of 0.57, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, TSM or MU?

MU has higher volatility (33.47%) compared to TSM (14.47%). In terms of maximum drawdown, TSM dropped -89.08% vs MU's -98.25%.

Which has better risk-adjusted returns?

MU currently has the higher Sharpe Ratio (12.50 vs 3.37), 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.