Goldman Sachs increased its 2027 capital expenditure forecast for TSMC to $78 billion.
This revision represents an 11.4% increase over previous estimates.
The bank previously projected 2027 spending at $70 billion.
The forecast for 2028 was also raised to $82 billion.
This 2028 outlook increased from a previous $74 billion estimate.
Analysts cited a full-scale AI infrastructure arms race as the primary driver.
Goldman Sachs projects TSMC revenue will grow 39% in 2026.
The bank expects gross margins to remain above 66% from 2026 through 2028.
Analyst Cheng-Ching Wei reiterated a Buy rating for the chipmaker.
The price target for Taiwan-listed shares rose to NT$3,000.
The ADR price target increased to $600.