Nomura Securities hiked its MediaTek price target from NT$3,400 to NT$5,800. This adjustment represents a potential upside of approximately 49.5%. The revision was part of a 110-page report on the AI semiconductor sector.
Nomura also upgraded price targets for eight other Taiwanese firms, including TSMC. The brokerage asserts that the AI infrastructure investment cycle has not yet peaked. Supply shortages for critical components are expected to persist.
MediaTek is positioned as a primary beneficiary of Google's growing Tensor Processing Unit (TPU) market share. The company's share of the TPU foundry business is projected to rise significantly. Growth in the Application-Specific Integrated Circuit (ASIC) business remains the primary driver behind the revised target.