MediaTek stunned the market at its investor conference by doubling its AI ASIC revenue target to $2 billion, with next-generation ASIC average selling prices running several times higher than current generation. Goldman Sachs responded with its third upgrade this year, lifting the 12-month target from NT$1,400 to NT$5,000, implying 91.6% upside — the most aggressive call among foreign brokerages.
Goldman: MediaTek Could Move Beyond I/O Chiplets
Goldman Sachs now forecasts MediaTek EPS of NT$63.29, NT$132.18 and NT$406.51 for 2026-2028, with 2028 revenue reaching NT$1.27 trillion. The thesis: MediaTek has a ticket to participate in computing chip design for next-gen AI ASIC projects, no longer limited to I/O chiplets, which should double ASP. Other foreign houses followed: Asian brokerage raised target to NT$4,500, European to NT$3,700, UBS to NT$3,400, Morgan Stanley to NT$2,988, Citigroup and Macquarie to NT$2,800. The NT$2,800 level has become the new floor. MediaTek shares hit the daily limit of NT$3,155 on May 5, a record high, pushing market cap above NT$5 trillion.
AMD Q1 Beat: Revenue $10.25B, Q2 Guidance $11.2B
AMD reported Q1 earnings on May 5: revenue of $10.25 billion versus consensus $9.89 billion; EPS of $1.37 versus $1.28 expected. Q2 revenue guidance midpoint of $11.2 billion also topped Wall Street's $10.52 billion estimate. Shares surged 15% after hours. On May 6 before the open, Morgan Stanley led the upgrade wave, raising its target from $255 to $360, a 41% jump. Within the same week, Wedbush targeted $400, DA Davidson went from $220 to $375 with a Buy rating, Susquehanna to $375, RBC Capital to $325, and Stifel to $320. During the call, AMD noted its server CPU market share is approaching a 1:1 split with Intel, will start shipping custom chips to Meta in H2, and expects data center revenue growth above 35% year-on-year. Six analysts upgrading in one week is a rare event in AMD's history.