JPMorgan has revised its price target for Taiwan Semiconductor Manufacturing Company (TSM) shares, adjusting it to NT$1,275 from the previous NT$1,300. Despite this reduction, the firm retains an Overweight rating on the stock, reflecting continued confidence in the company's prospects.
The update follows TSMC's recent earnings call, during which the company addressed speculations about a potential joint venture with Intel (INTC), reaffirming its strategic path. This clarification is expected to enhance investor confidence in TSMC's growth trajectory.
JPMorgan anticipates that TSMC will emerge as the leading provider of advanced semiconductor manufacturing capacity in the United States by the period between 2028 and 2029. The firm also projects that TSMC will gain significant outsourcing contracts from Intel's product group, reinforcing its market position.
Additionally, JPMorgan downplays the competitive threat from Intel's foundry operations as minimal, suggesting that TSMC's dominance is likely to remain unchallenged in the near future.
