The new earnings reports are subject to a new accounting rule that could impact on many listed companies, the analyst said.
The new rule, called the Statements of Financial Accounting Standard 35, requires Taiwanese companies to write down asset impairment stemming from long-term investments, or decreased goodwill from mergers.
The securities house suggested investors to set their sights on small-cap electronics stocks that are currently popular as short-term investment targets. They also recommended underperforming large-cap electronics shares.
The Taipei branch of Goldman Sachs (Asia) told investors that shares of upstream electronics component makers would outperform the downstream product assemblers. As such they are better investment targets, particularly in light of the strong performance of semiconductor shares on US stock markets earlier this month, Henry King (
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