SmarterDividends

HPE 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 5 of 8 head-to-head metrics. HPE offers the higher yield at 1.24%, HPE has the higher dividend-safety score, and TSM trades at the larger discount to fair value (+18%).

MetricHPETSM
Forward yield1.24%0.95%
Annual dividend$0.57$3.79
Payout ratio51%26%
Years of growth3 yr2 yr
5-yr dividend growth2.1%12.8%
5-yr total return196%235%
Dividend safety score85 (A)68 (B)
Fair value estimate$37.76$471.14
Upside to fair value-18%+18%
Frequencyquarterlyquarterly
Market cap$59.0B$2.1T
P/E ratio42.829.8

Higher yield

HPE

1.24%

Safer dividend

HPE

Grade A

Faster growth

TSM

12.8%

Better value

TSM

+18% upside

HPE vs TSM — FAQ

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