TEL vs TSM Stock Comparison
TEL currently leads TSM in this stock comparison, with AIQ scores of 65 vs 58. The clearest difference is momentum, while TSM has the stronger quality profile.
What is the main difference between TEL and TSM?
TEL leads the current stock comparison as TE Connectivity plc, with the clearest separation coming from momentum and the broader AIQ evidence mix.
AlgovestIQ AIQ Comparison
TE Connectivity plc vs Taiwan Semiconductor Manufacturing Company Limited
TEL leads
TEL leads by 7 AIQ points, primarily on Momentum and Value, having only recently taken the lead back from TSM. Wall Street currently favors TSM on target upside.
Fragile: 2 of 6 evidence groups support TEL, and the lead recently changed hands.
TE Connectivity plc
Taiwan Semiconductor Manufacturing Company Limited
The Algovestiq AIQ Score currently favors TEL over TSM, 65 versus 58 as of Oct 21, 2026. TEL's advantage is driven primarily by stronger momentum and value, while TSM holds the stronger quality profile. TEL also shows the stronger technical structure relative to its 50-day moving average, though analyst target upside currently favors TSM. 2 of 6 covered evidence groups favor TEL today, and the comparison is rated Fragile on stability: only 2 of 6 covered evidence groups agree. TEL lead: Reversed — TSM led by 7 AIQ points 30 sessions ago; TEL now leads by 7.
Compare TE Connectivity plc and Taiwan Semiconductor Manufacturing Company Limited across the Algovestiq AIQ Score, valuation, quality, momentum, risk, technicals and analyst expectations.
Performance over time
Total return with distributions reinvested, from daily closes.
Total return comparison
Growth of $10,000, distributions reinvested
Split-adjusted closes; each distribution is reinvested at the close on its ex-dividend date. Taxes and trading costs are not modeled.
Compare TEL and TSM against another ticker
Open a multi-ticker workspace without changing this focused pair page.
AIQ Factor Divergence
Where the two separate, on the four dimensions behind the AIQ Score. Bars read outward from a shared zero: further from the centre is a wider gap.
- Momentum62 vs 21TEL +41
- Quality63 vs 98TSM +35
- Value67 vs 45TEL +22
- Risk Resilience68 vs 67Even
2 of 6 evidence groups favor TEL. TEL’s edge is concentrated in momentum and value; TSM keeps a meaningful quality edge.
What changed since the last close
Latest scored session 2026-10-20, compared against the prior scored session 2026-10-19.
Largest factor move: Momentum +10
No signal started or stopped since the prior session; its 2 active signals are unchanged.
Largest factor move: Momentum +3
No signal started or stopped since the prior session; its 2 active signals are unchanged.
TEL's lead widened by 2 AIQ points in the latest session.
Deeper signal detail for each name lives on its own signals page — TEL and TSM both carry a full feed there.
The central trade-off
TEL (TE Connectivity plc): the stronger current systematic profile, led by momentum and value.
TSM (Taiwan Semiconductor Manufacturing Company Limited): the counter-case, on quality, fundamentals, technicals — but at materially higher volatility, 28.8% against 22.6%.
The AIQ Score and Wall Street therefore point in different directions on this pair.
Which one fits your objective
The same two names rank differently depending on what you are optimizing for. All six reads are shown at once — none of them is hidden behind a toggle.
Balanced
TELTEL on the overall AIQ Score, which weights Quality and Value most heavily.
Growth
TSMTSM on combined revenue and EPS growth.
Value
TELTEL on the peer-relative Value factor, by 22 points.
Momentum
TELTEL on the Momentum factor, by 41 points.
Lower downside
TELTEL carries the lower 1-month annualized volatility.
Analyst upside
TSMTSM on implied upside to the consensus price target.
AIQ vs Wall Street
The model and the Street disagree here: AIQ favors TEL, analyst targets favor TSM. That disagreement is the most useful thing on this page.
| Measure | TEL | TSM | Note |
|---|---|---|---|
| Implied upside to target | +16.8% | +36.4% | TSM has more room |
| Target dispersion | +32% | +34% | Lower is tighter analyst agreement |
| Consensus | Buy | Buy | Context, not a primary driver |
| Analysts covering | 7 | 7 | Higher coverage generally improves confidence |
The two are measuring different things. The AIQ Score reads current fundamentals, valuation, trend and risk; analyst targets price forward expectations. A divergence of this kind is either a contrarian opportunity or a sign the model is missing something already priced in — it is worth resolving before acting on either.
Analyst targets are expectations, not predictions. Dispersion matters as much as the midpoint.
Dividend growth
| Dividend metric | TEL | TSM |
|---|---|---|
| 5Y dividend CAGR | 7.91% | 15.29% |
| 2020 regular DPS | $1.900 | $1.360 |
| 2025 regular DPS | $2.780 | $2.769 |
| Years increased | 5 | 4 |
| No cut in window | Yes | No (1) |
| Cohort rank | #148 | not ranked |
TSM grew its split-adjusted regular dividend faster over 2020–2025 — 15.29% a year against TEL's 7.91%. TEL never reduced its regular dividend in the window; TSM did in 1 year.
Yield and payout ratio shown elsewhere on this page are current values, not part of the study window.
Split-adjusted regular dividends per share, 2020–2025, excluding special dividends. Research as of Sep 19, 2026.
AIQ Agreement Matrix
2 of 6 covered evidence groups favor TEL. A wide gap backed by one group is a weaker case than a narrow gap backed by five.
| Evidence group | Favors | Reading |
|---|---|---|
| AIQ Score | TEL | 65 vs 58 |
| Fundamentals | TSM | revenue growth 8.8% vs 17.6%; EPS growth -12% vs 8%; TTM ROE 23.2% vs 41.2%; gross margin 35.4% vs 65.8%; operating margin 19.1% vs 57.9% |
| Valuation | TEL | Value 67 vs 45 |
| Technicals | TSM | Price vs 50-day 1.8% vs -0.6%; vs 200-day 0.1% vs 7.3% |
| Risk Resilience | Even | Risk Resilience 68 vs 67 |
| Analyst expectations | TSM | Target upside 16.8% vs 36.4% |
✓ agrees with the overall verdict · ✕ points the other way. Groups marked “not covered” lack data on one or both of TEL and TSM and are excluded from the count.
AIQ Decision Stability
The conclusion is sensitive to small changes. Treat the lead as provisional and watch the flip conditions below.
- The AIQ gap is moderate at 7 points.
- Only 2 of 6 covered evidence groups agree. (argues the conclusion is provisional)
- The lead has already changed hands inside the comparison window. (argues the conclusion is provisional)
Stability combines the score gap, how broadly the evidence agrees, how steady the lead has been across daily snapshots, the current signal state on both names, and analyst dispersion on TEL.
How the comparison changed
120 daily snapshots · Jun 21 – Oct 20TEL lead: Reversed — TSM led by 7 AIQ points 30 sessions ago; TEL now leads by 7.
- Today
- TEL +7
- 65 vs 58
- 7 sessions ago
- TEL +5
- 61 vs 56
- 30 sessions ago
- TSM +7
- 65 vs 72
- 90 sessions ago
- TSM +8
- 63 vs 71
The lead changed hands 2 times in this window, most recently on Oct 12 when TEL moved ahead of TSM.
AIQ Signal Divergence
Only the signals that bear on the head-to-head. A conflicted name is carrying bullish and bearish rules at the same time — the technical evidence is not pointing one way.
0 bullish / 2 bearish
Only TEL
- Death Cross Active — bearish, trend, long horizon (1.50%)
1 bullish / 1 bearish, conflicted
Only TSM
- Golden Cross Active — bullish, trend, long horizon (9.68%)
Both carry 1 more signal that do not separate them: MACD Bearish Crossover.
TSM is conflicted, so the timing case there is weaker than the score alone suggests.
Price vs model alignment
Whether the latest session's price move confirms what the model did over the same session, or contradicts it.
Price and the AIQ Score both moved up over the latest session (price +0.2%, AIQ +3 points).
Price and the AIQ Score both moved up over the latest session (price +1.6%, AIQ +1 points).
What would flip this result
A state, not a forecast. These are the specific, observable changes that would reverse the verdict — not a price prediction.
- 1TSM closes the Momentum gap — currently 41 points behind, the largest single contributor to TEL's edge.
- 2TSM's MACD Bearish Crossover resolves — a bearish momentum rule currently active against it.
- 3TEL starts generating bearish momentum or trend signals.
- 4A regime shift changes factor weighting — Quality and Value carry the heaviest weights in the composite, so a rotation toward either would move the result most.
The full evidence
Every number behind the verdict. The leader is called above each group so you are not left to solve it from the table.
Fundamentals
TSM leads on balance| Metric | TEL | TSM |
|---|---|---|
| Revenue growth (YoY) | 8.8% | 17.6% |
| EPS growth (YoY) | -12% | 8% |
| Gross margin | 35.4% | 65.8% |
| Operating margin | 19.1% | 57.9% |
| Return on equity (TTM) | 23.2% | 41.2% |
| Debt to equity | 0.43 | 0.14 |
Performance
Split across windows| Metric | TEL | TSM |
|---|---|---|
| 1 week (5 sessions) | -1% | -4.5% |
| 1 month (20 sessions) | 0.1% | -6% |
| 3 months (63 sessions) | 6.7% | 0.9% |
| 6 months (126 sessions) | -12.1% | 15.5% |
| Year to date | -6.1% | 39.9% |
| 1 year (252 sessions) | -4.7% | 41.8% |
Technicals
TSM has the stronger structure| Metric | TEL | TSM |
|---|---|---|
| RSI (14) | 53.9 | 36.7 |
| ADX (14) | 14.3 | 21.6 |
| Price vs 50-day | 1.8% | -0.6% |
| Price vs 200-day | 0.1% | 7.3% |
| Volatility (1M, annualized) | 22.6% | 28.8% |
Risk
Split| Metric | TEL | TSM |
|---|---|---|
| Beta | 1.6 | 2.11 |
| Sharpe ratio | -0.05 | 1.04 |
| Sortino ratio | -0.07 | 1.66 |
| Max drawdown | -21.4% | -21.6% |
| Current drawdown | -14.2% | -12.5% |
| Annualized volatility | 35.3% | 38.9% |
| Value at risk (95%) | -3.8% | -3.8% |
Straight answers
Each answer is regenerated from the current snapshot, not written once and left to age.
Which is better, TEL or TSM?
On the Algovestiq AIQ Score, TEL is the stronger of the two as of Oct 21, 2026, scoring 65 against TSM's 58. The edge comes from momentum and value. TSM is not without a case — it holds the better quality profile, which matters more if that is the objective you are optimizing for. This is a systematic score, not a recommendation: it ranks the two on the same evidence, it does not know your holding period or tax position.
Is TEL or TSM the better buy right now?
TEL carries the stronger systematic profile as of Oct 21, 2026, and the comparison is rated Fragile — 2 of 6 covered evidence groups agree. A Fragile rating means the conclusion is sensitive: only 2 of 6 covered evidence groups agree. Treat the lead as provisional.
Why does the AIQ Score favor TEL over TSM?
The composite weights Quality, Value, Momentum and Risk Resilience. TEL leads Momentum by 41 points; TSM leads Quality by 35 points; TEL leads Value by 22 points. Where the two split, the factor with the larger weight carries the result.
Which has more analyst upside, TEL or TSM?
Analyst price targets imply +16.8% upside for TEL and +36.4% for TSM, so the Street currently favors TSM. That points the opposite way to the AIQ Score, which favors TEL. The two are measuring different things: the model reads current fundamentals, valuation, trend and risk; the Street is pricing forward expectations. A divergence of this kind is either a contrarian opportunity or a sign the model is missing something the analysts have already priced — it is the single most useful row on this page to investigate. Analyst targets are expectations, not predictions, and dispersion matters as much as the midpoint.
Which is better value, TEL or TSM?
TEL is the better-valued of the two on the peer-relative Value factor. TEL on the peer-relative Value factor, by 22 points. The Value factor reads valuation relative to sector peers and to the company's own fundamental quality, so it is not the same as simply having the lower multiple.
Which has stronger growth, TEL or TSM?
TSM on combined revenue and EPS growth. Growth here is measured on reported revenue and earnings, not on forward estimates — it describes what the businesses have delivered, not what the Street expects next.
Which has stronger momentum, TEL or TSM?
TEL on the Momentum factor, by 41 points. Momentum is one of the four weighted factors in the AIQ composite. It has documented persistence over three- to twelve-month horizons, which makes it a timing input rather than a reason to hold something indefinitely.
Which is riskier, TEL or TSM?
TEL is the more resilient of the two, so the other name carries the higher downside risk. TEL carries the lower 1-month annualized volatility. Risk Resilience is a weighted factor in the composite; position sizing usually responds to it more usefully than the buy/avoid decision does.
Is TEL more profitable than TSM?
TSM leads on the comparable margin measures — gross margin 35.4% vs 65.8%; operating margin 19.1% vs 57.9%; ttm roe 23.2% vs 41.2%.
Is TEL's lead over TSM getting stronger or weaker?
TEL lead: Reversed — TSM led by 7 AIQ points 30 sessions ago; TEL now leads by 7. This is measured from 120 daily comparison snapshots between 2026-06-21 and 2026-10-20. The lead has changed hands 2 times in that window, most recently on 2026-10-12, when TEL moved ahead of TSM.
What would change the TEL vs TSM verdict?
The result is a state, not a forecast, so it changes when the underlying evidence changes. Concretely: TSM closes the Momentum gap — currently 41 points behind, the largest single contributor to TEL's edge; TSM's MACD Bearish Crossover resolves — a bearish momentum rule currently active against it; TEL starts generating bearish momentum or trend signals; a regime shift changes factor weighting — Quality and Value carry the heaviest weights in the composite, so a rotation toward either would move the result most.
What do the current signals say about TEL and TSM?
TEL: 0 bullish / 2 bearish. TSM: 1 bullish / 1 bearish, conflicted. A conflicted state means bullish and bearish rules are active on the same name at once — the technical evidence is not pointing one way, and a decision taken on it carries more timing risk. The most decision-relevant rule on TEL is Death Cross Active (bearish, long horizon). On TSM it is Golden Cross Active (bullish, long horizon).
Compare TEL and TSM with others
Continue your research
This page answers which of the two. These answer the questions on either side of it.
How this comparison is scored
The Algovestiq AIQ Score composites four factors — Quality, Value, Momentum and Risk, each carrying a fixed weight. Sentiment is reported separately as SentimentPulse and is not folded into the composite. Scores refresh every trading day, and this page regenerates from the latest snapshot rather than being written once.
The verdict names a leader, states how broadly six independent evidence groups agree, and rates how durable that conclusion is given the score gap, its recent trajectory and the current signal state on both names.
How to use side-by-side comparison →This comparison is informational and educational, not investment advice. AIQ scores update daily; re-check after earnings, guidance or macro data that materially changes either name’s factor profile.