As for Taiwan, Moe raised his rating on the country’s stocks to Outperform, and his 51,000 target for the Taiwan Stock Exchange Capitalization Weighted Stock Index, or TAIEX, implies almost 10% upside. At first glance, Taiwan doesn’t look that cheap at 22 times earnings. But when accounting for growth, it is the second cheapest market in the region after South Korea with a price/earnings-to-growth ratio of 0.7%, Moe notes.
