Taiwan Semiconductor Manufacturing Co (Taiwan Semiconductor Manufacturing Co) Cash-to-Debt

: 1.81 (As of Dec. 2023)

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Cash to Debt Ratio measures the financial strength of a company. It is calculated as a company's cash, cash equivalents, and marketable securities divide by its debt. Taiwan Semiconductor Manufacturing Co's cash to debt ratio for the quarter that ended in Dec. 2023 was 1.81.

If Cash to Debt ratio is greater than 1, the company can pay off its debt using the cash in hand. Here we can see, Taiwan Semiconductor Manufacturing Co could pay off its debt using the cash in hand for the quarter that ended in Dec. 2023.

The historical rank and industry rank for Taiwan Semiconductor Manufacturing Co's Cash-to-Debt or its related term are showing as below:

TSM' s Cash-to-Debt Range Over the Past 10 Years
Min: 1.6 Med: 2.25 Max: 3.95
Current: 1.81

During the past 13 years, Taiwan Semiconductor Manufacturing Co's highest Cash to Debt Ratio was 3.95. The lowest was 1.60. And the median was 2.25.

TSM's Cash-to-Debt is ranked worse than
50.15% of 993 companies
in the Semiconductors industry
Industry Median: 1.82 vs TSM: 1.81

Taiwan Semiconductor Manufacturing Co Cash-to-Debt Historical Data

The historical data trend for Taiwan Semiconductor Manufacturing Co's Cash-to-Debt can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: An indication of "No Debt" does not necessarily mean that the company has no debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

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Taiwan Semiconductor Manufacturing Co Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Cash-to-Debt

3.12

2.18

1.60

1.79

1.81

Taiwan Semiconductor Manufacturing Co Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Cash-to-Debt																1.79	1.81	1.60	1.62	1.81

Competitive Comparison

For the Semiconductors subindustry, Taiwan Semiconductor Manufacturing Co's Cash-to-Debt, along with its competitors' market caps and Cash-to-Debt data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Taiwan Semiconductor Manufacturing Co Cash-to-Debt Distribution

For the Semiconductors industry and Technology sector, Taiwan Semiconductor Manufacturing Co's Cash-to-Debt distribution charts can be found below:

* The bar in red indicates where Taiwan Semiconductor Manufacturing Co's Cash-to-Debt falls into.

Taiwan Semiconductor Manufacturing Co Cash-to-Debt Calculation

This is the ratio of a company's Cash, Cash Equivalents, Marketable Securities to its debt. The debt includes the Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation. This ratio measures the financial strength of a company. This ratio is updated quarterly.

Taiwan Semiconductor Manufacturing Co's Cash to Debt Ratio for the fiscal year that ended in Dec. 2023 is calculated as:

Cash to Debt Ratio	=	Cash, Cash Equivalents, Marketable Securities	/	Total Debt
	=	Cash, Cash Equivalents, Marketable Securities	/	(Short-Term Debt & Capital Lease Obligation	+	Long-Term Debt & Capital Lease Obligation)
	=	54848.632	/	(0	+	30301.414)
	=	1.81

Taiwan Semiconductor Manufacturing Co's Cash to Debt Ratio for the quarter that ended in Dec. 2023 is calculated as:

Cash to Debt Ratio	=	Cash, Cash Equivalents, Marketable Securities	/	Total Debt
	=	Cash, Cash Equivalents, Marketable Securities	/	(Short-Term Debt & Capital Lease Obligation	+	Long-Term Debt & Capital Lease Obligation)
	=	54848.632	/	(0	+	30301.414)
	=	1.81

Taiwan Semiconductor Manufacturing Co (NYSE:TSM) Cash-to-Debt Explanation

If Cash to Debt ratio is greater than 1, the company can pay off its debt using the cash in hand. If it is smaller than 1, it means the company has more debt than the cash in hands. In this case, it is important to look the the company's Interest Coverage. Ben Graham requires that a company must have an Interest Coverage of at least 5.

Taiwan Semiconductor Manufacturing Co Cash-to-Debt Related Terms

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Taiwan Semiconductor Manufacturing Co (Taiwan Semiconductor Manufacturing Co) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Technology » Semiconductors » Taiwan Semiconductor Manufacturing Co Ltd (NYSE:TSM) » Definitions » Cash-to-Debt

Comparable Companies

Traded in Other Exchanges

2330:Taiwan TSM N:Mexico 0LCV:UK TSFA:Germany TSFA:Germany TSMC34:Brazil TSFA:Austria TSM:Argentina

Address

No. 8, Li-Hsin Road 6, Hsinchu Science Park, Hsinchu, TWN, 300-096

Website

https://www.tsmc.com

Taiwan Semiconductor Manufacturing Co. is the world's largest dedicated chip foundry, with almost 60% market share. TSMC was founded in 1987 as a joint venture of Philips, the government of Taiwan, and private investors. It went public as an ADR in the U.S. in 1997. TSMC's scale and high-quality technology allow the firm to generate solid operating margins, even in the highly competitive foundry business. Furthermore, the shift to the fabless business model has created tailwinds for TSMC. The foundry leader has an illustrious customer base, including Apple, AMD, and Nvidia, that looks to apply cutting-edge process technologies to its semiconductor designs. TSMC employs more than 73,000 people.