Goldman Sachs: raise the forward profit forecast for SMIC (00981.HK) target price to HK$95, maintain a "buy" rating.

According to the Zhitong Finance APP, Goldman Sachs released a research report stating that with another round of national subsidies being distributed in October, the demand for consumer electronics and smartphones in China in the second half of the year remains stable, with no significant decline seen. Although consumer electronics and smartphones contribute 66% of the revenue, the bank remains optimistic about the long-term order expansion of SMIC (00981.HK), benefiting from the growth of downstream customer market share and the upgrade of semiconductor content in electronic devices, especially the accelerated deployment of artificial intelligence functions. The bank maintains a "buy" rating for SMIC, raising the valuation basis from a forecasted P/E ratio of 45.2 times in 2028 to 51.1 times, with the H-share target price increasing from the original HK$83.5 to HK$95.