STM vs TSM: Which Is the Better Dividend Stock?
As of July 2026, TSM (Taiwan Semiconductor Manufacturing Company Limited) screens as the stronger dividend stock, winning 6 of 7 head-to-head metrics. TSM offers the higher yield at 0.95%, TSM has the higher dividend-safety score, and TSM trades at the larger discount to fair value (+18%).
| Metric | STM | TSM |
|---|---|---|
| Forward yield | 0.58% | 0.95% |
| Annual dividend | $0.36 | $3.79 |
| Payout ratio | 225% | 26% |
| Years of growth | 2 yr | 2 yr |
| 5-yr dividend growth | 14.1% | 12.8% |
| 5-yr total return | 40% | 235% |
| Dividend safety score | 60 (C) | 68 (B) |
| Fair value estimate | $35.16 | $471.14 |
| Upside to fair value | -43% | +18% |
| Frequency | quarterly | quarterly |
| Market cap | $55.1B | $2.1T |
| P/E ratio | 386.1 | 29.8 |
Higher yield
TSM
0.95%
Safer dividend
TSM
Grade B
Faster growth
STM
14.1%
Better value
TSM
+18% upside
STM vs TSM — FAQ
Related comparisons
See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.