td0036 wrote:
＜2330＞ I8...(恕刪)
TSMC: Apple Supplier Has 11% Upside
http://www.barrons.com/articles/tsmc-apple-supplier-has-11-upside-1498117360
Brokerage CIMB has resumed coverage on Taiwan Semiconductor Manufacturing Company(2330.TW) with an add rating and a price target of TWD242 a share.
The launch of Apple's (AAPL) new iPhone 8 is viewed by CIMB as key to the company's earnings growth in the near-term:
We see overall smartphone demand improving significantly in 2H17F, driving up TSMC’s utilisation rate across various nodes. We assume its 10nm shipment will peak at 55k-60k wafers/month in 4Q17F, mainly due to AAPL’s demand for the A11 system-on-chip (SoC) for iPhone 8, contributing 16-18% to its 2H17F sales. It may also see upside in its 16nm shipment, by grabbing Samsung's portion of AAPL's A9 SoC supply (for iPhone 6S). iPhone 6S may still see significant demand in 2H17F, particularly in India and ASEAN.
CIMB is also a fan of the TSMC's strong position in the industry given it would take a significant investment by a competitor to rival it:
We see no worthy contender to TSMC’s market position in the near future. Extortionate barriers in finance and technology keep contenders at bay, in our view. Hardly any public company could deal with prolonged losses caused by substantial capex and significant R&D expenses for many consecutive years, in our opinion, but by the same token, we do not believe it is possible to threaten TSMC’s market share without such intense spending.
TSMC shares last traded at TWD218 a share, implying 11% upside. The stock is up 20% this year.
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