SmarterDividends

STX 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 4 of 7 head-to-head metrics. TSM offers the higher yield at 0.95%, STX 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: STX 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 0.55% for Seagate Technology Holdings plc (STX).
  • As of Nov 5, 2026, SmarterDividends grades STX's dividend safety A (93/100) and TSM's B (68/100).
  • By SmarterDividends' count as of Nov 5, 2026, STX has raised its dividend for 2 consecutive years and TSM for 2.
  • As of Nov 5, 2026, STX pays out 16% of its earnings as dividends and TSM pays out 24%.
  • As of Nov 5, 2026, STX's fair-value estimate is 2% above 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, "STX vs TSM: Dividend Yield, Safety & Value Compared," updated Nov 5, 2026, https://smarterdividends.com/compare/stx-vs-tsm

MetricSTXTSM
Forward yield0.55%0.95%
Annual dividend$3.04$3.77
Payout ratio16%24%
Years of growth2 yr2 yr
5-yr dividend growth2.1%12.8%
5-yr total return528%247%
Dividend safety score93 (A)68 (B)
Fair value estimate$498.20$403.11
Upside to fair value+2%+10%
Frequencyquarterlyquarterly
Market cap$111.8B$1.9T
P/E ratio25.523.7

Higher yield

TSM

0.95%

Safer dividend

STX

Grade A

Faster growth

TSM

12.8%

Better value

TSM

+10% upside

STX vs TSM — FAQ

Is STX or TSM a better dividend stock?

On the data, TSM wins more head-to-head categories (4 vs 3). TSM offers the higher yield (0.95%), while STX has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.

Which has a higher dividend yield, STX or TSM?

TSM has the higher forward dividend yield at 0.95%, versus 0.55% for STX.

Is STX or TSM safer?

STX has the higher dividend-safety score (93/100 vs 68/100), reflecting stronger payout coverage and dividend-growth history.

Is STX 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 STX, its fair-value estimate is 2% above its share price.

See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.