SAP vs TSM: Which Is the Better Dividend Stock?
As of Nov 9, 2026, TSM (Taiwan Semiconductor Manufacturing Company Limited) screens as the stronger dividend stock, winning 5 of 6 head-to-head metrics. SAP offers the higher yield at 1.25%, SAP has the higher dividend-safety score, and TSM looks like the better value (its fair-value estimate is 7% above its share price).
Key facts: SAP vs TSM
Data as of · Source: SmarterDividends data
- As of Nov 9, 2026, SAP SE (SAP) has the higher forward dividend yield at 1.25%, versus 1.00% for Taiwan Semiconductor Manufacturing Company Limited (TSM).
- As of Nov 9, 2026, SmarterDividends grades SAP's dividend safety B (68/100) and TSM's B (68/100).
- By SmarterDividends' count as of Nov 9, 2026, SAP has raised its dividend for 2 consecutive years and TSM for 2.
- As of Nov 9, 2026, SAP pays out 36% of its earnings as dividends and TSM pays out 24%.
- As of Nov 9, 2026, SAP's fair-value estimate is 40% below its share price and TSM's fair-value estimate is 7% above its share price, so TSM looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "SAP vs TSM: Dividend Yield, Safety & Value Compared," updated Nov 9, 2026, https://smarterdividends.com/compare/sap-vs-tsm
| Metric | SAP | TSM |
|---|---|---|
| Forward yield | 1.25% | 1.00% |
| Annual dividend | $2.93 | $3.77 |
| Payout ratio | 36% | 24% |
| Years of growth | 2 yr | 2 yr |
| 5-yr dividend growth | 9.0% | 12.8% |
| 5-yr total return | 82% | 220% |
| Dividend safety score | 68 (B) | 68 (B) |
| Fair value estimate | $141.21 | $403.11 |
| Upside to fair value | -40% | +7% |
| Frequency | annual | quarterly |
| Market cap | $269.4B | $1.9T |
| P/E ratio | 29.1 | 24.3 |
Higher yield
SAP
1.25%
Safer dividend
SAP
Grade B
Faster growth
TSM
12.8%
Better value
TSM
+7% upside
SAP vs TSM — FAQ
Is SAP or TSM a better dividend stock?
On the data, TSM wins more head-to-head categories (5 vs 1). SAP offers the higher yield (1.25%), while SAP has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.
Which has a higher dividend yield, SAP or TSM?
SAP has the higher forward dividend yield at 1.25%, versus 1.00% for TSM.
Is SAP or TSM safer?
SAP has the higher dividend-safety score (68/100 vs 68/100), reflecting stronger payout coverage and dividend-growth history.
Is SAP or TSM better value right now?
As of Nov 9, 2026, TSM looks like the better value: its fair-value estimate is 7% above its share price (fairly valued). For SAP, its fair-value estimate is 40% below its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.