The new target price implies a 13.6 percent upside from the stock’s closing price of NT$339 in Taipei trading on Friday. The second quarter of next year would likely be a transition period to the next-generation iPhone — for which application processor shipments would start in the third quarter — becoming a potential low point for TSMC, Macquarie said in a research note on Friday. “We expect TSMC’s revenue to grow 16 percent year-on-year in full-year 2020. TSMC’s 4Q20 revenue will likely be the peak again next year, following the normal pattern,” Macquarie analysts led by Patrick Liao (廖光河) wrote in the note. “We estimate Apple will occupy from 85 to 90 percent of [TSMC’s] total 5nm capacity, and the rest will be assigned to new Huawei Mate models,” Macquarie analysts said.
