Arthur Hanson
Well-known member
Roland Shu of Citigroup has had a 561.00/share price target on TSM and for a long time I thought he was totally out there, but after looking at the figures and the insanity of Bitcoin it may have some reality in this crazy market in a crazy year. I feel the covid crissis and government money printing world wide gone crazy has given this prediction maybe a sense of reality. TSM has a literally amazing moate and a key place in the future of technologies that are the main drivers behind almost all progress in the world. TSM with a net profit margin of 37.95% on top of a growth rate of 24.2% are highly unusual in a company of this size. These figures are far in excess of most successful companie and when put together could easily justify a price far higher than the current market price. TSM changed the rules of the semiconductor industry and also increasing not only its lead over others, but the size of its supporting ecosystem. Any thoughts or opinions solicited and welcome. In the interests of full disclosure I have a substantial holding for at least ten years and it's a long term holding which I also have traded occaisionly, like many others I have. Addition: This might also be a function of the 28 to 1 ratio Taiwanese currency and the 5 to 1 ratio of ADR shares to Taiwanese shares, but the figures still could still justify the price of an ADR share in US dollars.
Raymond Shu has a return of 34% on stocks covered and a success rate of 71% for stocks covered.
Raymond Shu has a return of 34% on stocks covered and a success rate of 71% for stocks covered.
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