US banking titan Goldman Sachs is reportedly highlighting its bullishness on one under-the-radar artificial intelligence (AI) stock that’s up over 68 since March.
Goldman has put Taiwan Semiconductor Manufacturing Company Limited (TWSC:2330) on its “Conviction Buy” list after already being on its buy list, Insider Monkey reports.
-->TSMC is Taiwan’s largest company, and shares of TSMC are often considered a “pure play” on semiconductors as the firm manufactures chips for some of the world’s biggest tech firms, including Apple, Nvidia and Qualcomm.
Goldman says it is raising its price target on TSMC based on cooling concerns about large AI-chip order cuts and increasing demand for the company’s CoWoS (Chip on Wafer on Substrate with silicon interposer) tech designed to power ultra-high-performance computing for AI and other applications.
The bank also believes that more smartphone, server and networking customers of TSMC will start adopting CoWoS tech.
Goldman is projecting the company’s dollar revenue to grow by 29 this year and 17 in 2026.
The firm has upped its price target for TSM to NT$1,210 from NT$1,145.
At time of writing, TSMC is trading at NT$1,080. Reaching Goldman’s price target suggests a 12 rally from current prices.
