Taiwan News
Date: 2020/01/19
By:  Central News Agency

An American brokerage has increased its target price on shares of Taiwan Semiconductor Manufacturing Co. (TSMC) to NT$402 (US$13.42) after the company's strong 2020 guidance at an investor conference Thursday.

In a research note Friday, the U.S. securities house said it was pleased by TSMC's sales forecast for 2020 and was therefore raising its target price on the stock from NT$396 to NT$402.It was the first foreign brokerage to give a target price of more than NT$400 on shares of TSMC, the world's largest chipmaker.

Citing optimism toward the growth of TSMC, the American brokerage kept its "buy" rating on TSMC shares.Meanwhile, a Japanese securities house also maintained its "buy" recommendation on the stock and its target price of NT$395.

TSMC's fundamentals are expected to remain sound, with its compound annual sales growth over the next five years estimated at almost 10 percent, but its shipments might be affected by continued U.S. sanctions against Chinese telecom equipment giant Huawei Technologies Inc., one of TSMC's biggest clients, the Japanese brokerage said.    [FULL  STORY]