Goldman Sachs raises SMIC stock target from HKD 135 to HKD 153

Published on 10/19/2026 at 10:16 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Goldman Sachs raised its SMIC target from HKD 135.00 to HKD 153.00 on October 16, 2026. SMIC stock enters Q3 with 26.00 to 28.00 percent margin guidance.

Three dated SMIC signals

Goldman Sachs lifted its target to HKD 153.00 on October 16, 2026.
Second-quarter revenue reached USD 3,005.6 million, up 20.00 percent sequentially.
SMIC's next earnings date is November 12, 2026.

SMIC, KYG8020E1199, Illustration mit AI erstellt.

SMIC (ISIN KYG8020E1199) received a higher Goldman Sachs target of HKD 153.00 on October 16, 2026, up from HKD 135.00. The bank maintained its Buy rating as capacity expansion and AI-related demand supported its outlook.

Second-quarter revenue was USD 3,005.6 million, a 20.00 percent sequential increase, while gross margin reached 25.30 percent. Second Order reported that SMIC guided third-quarter revenue 2.00 to 4.00 percent higher sequentially and gross margin at 26.00 to 28.00 percent.

Goldman Sachs raises its target

GMT EIGHT said Goldman Sachs lifted its 12-month target from HKD 135.00 to HKD 153.00 on October 16, 2026. The report linked the view to continued capacity expansion, higher average selling prices and demand for AI-related chips.

What does the margin guide mean?

The guide points to pricing and product mix rather than another 20.00 percent revenue jump. Second-quarter utilization was 93.70 percent, while monthly capacity rose to 1,096,500 eight-inch-equivalent wafers from 1,078,250 in the first quarter, according to Second Order. The combination leaves qualification of new capacity and equipment restrictions as important constraints.

Three dates frame the story

On August 13, 2026, SMIC reported USD 3,005.6 million of second-quarter revenue and set third-quarter gross-margin guidance at 26.00 to 28.00 percent. On October 1, 2026, Huawei launched the Mate 90 with a Kirin 9050 Pro design that secondary technical coverage linked to SMIC process nodes. On October 16, 2026, Goldman Sachs raised its target from HKD 135.00 to HKD 153.00. The figures and dates are reported by Second Order and GMT EIGHT.

Next reporting date

SMIC's next earnings date is November 12, 2026, according to InvestPane. That report will test whether the 26.00 to 28.00 percent margin guide translates into stronger gross profit as capacity expands.

SMIC enters the next earnings test

For investors, the key comparison is between the 25.30 percent second-quarter gross margin and the 26.00 to 28.00 percent third-quarter guide. SMIC's second-quarter operating cash flow was USD 2,522.1 million, adding a cash-generation metric to the margin debate.