Morgan Stanley raises TSMC target price

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Morgan Stanley analysts raised TSMC’s target price by 12% to NT$2,888, citing improving revenue and pricing prospects for the company. The firm also expects the wafer foundry giant to raise its forecasts for this year’s revenue and capital expenditures at next month’s earnings call. Given strong AI capital expenditure and chip demand, TSMC is expected to increase its 2026 revenue outlook to about 40% year-over-year growth and raise capital expenditures to $56 billion, reaching the high end of the previously expected $52 billion to $56 billion range. Given TSMC’s production scale, supply priority for EUV lithography technology, and leading process node position, competition in the foundry market between Samsung and Intel should not have too much impact. (Sina Finance)
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