STMEF vs TSM: Which Is the Better Dividend Stock?
As of Nov 5, 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 looks like the better value (its fair-value estimate is 10% above its share price).
Key facts: STMEF vs TSM
Data as of · Source: SmarterDividends data
- As of Nov 5, 2026, Taiwan Semiconductor Manufacturing Company Limited (TSM) has the higher forward dividend yield at 0.95%, versus 0.78% for STMicroelectronics N.V. (STMEF).
- As of Nov 5, 2026, SmarterDividends grades STMEF's dividend safety C (65/100) and TSM's B (68/100).
- By SmarterDividends' count as of Nov 5, 2026, STMEF has raised its dividend for 2 consecutive years and TSM for 2.
- As of Nov 5, 2026, STMEF pays out 63% of its earnings as dividends and TSM pays out 24%.
- As of Nov 5, 2026, STMEF's fair-value estimate is 50% below its share price and TSM's fair-value estimate is 10% above its share price, so TSM looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "STMEF vs TSM: Dividend Yield, Safety & Value Compared," updated Nov 5, 2026, https://smarterdividends.com/compare/stmef-vs-tsm
| Metric | STMEF | TSM |
|---|---|---|
| Forward yield | 0.78% | 0.95% |
| Annual dividend | $0.36 | $3.77 |
| Payout ratio | 63% | 24% |
| Years of growth | 2 yr | 2 yr |
| 5-yr dividend growth | 14.1% | 12.8% |
| 5-yr total return | -6% | 247% |
| Dividend safety score | 65 (C) | 68 (B) |
| Fair value estimate | $20.46 | $403.11 |
| Upside to fair value | -50% | +10% |
| Frequency | quarterly | quarterly |
| Market cap | $36.6B | $1.9T |
| P/E ratio | 71.8 | 23.7 |
Higher yield
TSM
0.95%
Safer dividend
TSM
Grade B
Faster growth
STMEF
14.1%
Better value
TSM
+10% upside
STMEF vs TSM — FAQ
Is STMEF or TSM a better dividend stock?
On the data, TSM wins more head-to-head categories (6 vs 1). TSM offers the higher yield (0.95%), while TSM has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.
Which has a higher dividend yield, STMEF or TSM?
TSM has the higher forward dividend yield at 0.95%, versus 0.78% for STMEF.
Is STMEF or TSM safer?
TSM has the higher dividend-safety score (68/100 vs 65/100), reflecting stronger payout coverage and dividend-growth history.
Is STMEF or TSM better value right now?
As of Nov 5, 2026, TSM looks like the better value: its fair-value estimate is 10% above its share price (fairly valued). For STMEF, its fair-value estimate is 50% below its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.