Morningstar: Samsung Electronics' revenue forecast may disappoint investors.
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The market ignored Samsung's impressive earnings forecast, and Samsung Electronics opened down 3%.
According to BlockBeats, on July 7th, based on Bitget market data, the South Korean KOSPI index opened down 96.78 points, or 1.2%, at 7954.55 points on Tuesday, July 7th. Samsung Electronics fell 3%, and SK Hynix fell 1%. Previously, Samsung released its Q2 earnings forecast, showing that its operating profit increased by over 1800% year-on-year, with single-quarter profit exceeding the total of the previous three years. At the same time, the company's revenue also increased by 129% year-on-year, reaching 171 trillion won.
Analysts: Samsung's better-than-expected earnings report is already priced in; investors are concerned about the sustainability of AI.
According to Mars Finance, on July 7th, Samsung Electronics issued a better-than-expected earnings forecast: the company's operating profit increased by over 1800% year-on-year, with single-quarter profits exceeding the total of the previous three years. Simultaneously, the company's revenue also increased by 129% year-on-year, reaching 171 trillion won. However, investors seemed unconvinced, and Samsung Electronics' stock price fell sharply after the South Korean stock market opened, with a maximum drop of 8%. Analysts attributed Samsung's weak stock price to some overly high market expectations: after including employee bonus provisions, profits driven by record memory chip prices could have exceeded 90 trillion won. Furthermore, the market is also concerned about a potential slowdown in the construction of AI data centers. Albert Yong, Managing Partner of Petra Capital Management, stated, "Samsung's strong performance had already been widely anticipated by the market and largely priced in during the pre-earnings stock price increase. Investors remain concerned about the sustainability of the AI boom and the risk of a potential slowdown in AI infrastructure spending by major US technology companies."
Samsung released its Q2 earnings forecast: operating profit increased by over 1800% year-on-year, with single-quarter profit exceeding the total of the previous three years.
BlockBeats reported on July 7th that global semiconductor giant Samsung Electronics released extremely strong preliminary financial results for the second quarter. Data shows that, driven by the powerful wave of artificial intelligence (AI), the world's largest memory chip manufacturer is experiencing its most prosperous profit cycle in history. According to the financial report, Samsung's operating profit in the second quarter surged 1810.2% year-on-year, reaching 89.4 trillion won (approximately US$58 billion). This figure not only far exceeded the market's previous expectation of 84.2 trillion won, but also remarkably surpassed the company's total profit for the three years from 2023 to 2025. At the same time, the company's revenue also increased by 129% year-on-year, reaching 171 trillion won. Following Samsung Electronics' earnings forecast, SanDisk (SNDK.O) and Micron Technology (MU.O) saw their US-listed shares decline in after-hours trading. Samsung's explosive performance directly benefits from the near-"thirsty" orders for high-performance memory chips from AI data centers. Industry giants like Nvidia and OpenAI have repeatedly stated publicly that the shortage of memory chips has become a core bottleneck for current AI development. Because major manufacturers prioritize the production capacity of high-bandwidth memory (HBM), which is designed specifically for AI and offers higher profits, this has conversely squeezed the conventional memory space needed for smartphones, PCs, and enterprise servers. This "capacity squeeze" effect has led to a severe shortage in the global memory market. HSBC data shows that in the second quarter of 2026, the average selling price of DRAM increased by more than 40% compared to the previous quarter, and NAND prices increased by more than 50%; Citi Research gives even higher estimates, at 44% and 53% respectively. Analysts generally believe that this "seller's market" will continue at least until 2027, giving Samsung and its long-time rivals SK Hynix and Micron Technology extremely strong pricing power.
US and South Korean stock price forecasts for Monday: Microelectronics is expected to rise more than 6% ahead of schedule, while Samsung Electronics is expected to open 4% higher.
According to BlockBeats, on July 5th, due to the US Independence Day holiday (July 3rd), the US stock market was closed on Friday, coinciding with the traditional market closure on Saturday and Sunday. "On-Chain Nasdaq" (2024111120230) achieved continuous trading and real-time price discovery through perpetual contracts, enabling it to pre-price the US and South Korean stock market performance on Monday. Trade.xyz Popular US stocks showed mixed performance compared to Thursday's after-hours close, and are expected to trade sideways with slight fluctuations before Monday's pre-market session. Weekend performance is as follows: Micron (MU) is currently trading at $1038.71, compared to $976.63 after Thursday's close; SanDisk (SNDK) is currently trading at $1856.65, compared to $1762.011 after Thursday's close; Nvidia is currently trading at $197.83, compared to $194.44 after Thursday's close; Intel is currently trading at $124.2, compared to $121 after Thursday's close; Google is currently trading at $360.06, compared to $359.91 after Thursday's close; AMD is currently trading at $537.34, compared to $519.5 after Thursday's close; SpaceX is currently trading at $161.27. The US dollar was at $160.95 in after-hours trading on Thursday. Trade.xyz The weekend performance of popular South Korean stocks is as follows: Samsung Electronics is currently trading at $210.49, compared to a close of $202.35 on Friday; SK Hynix is currently trading at $1623.16, compared to a close of $1585 on Friday.
Southern investors who long their bets on Samsung Electronics (07747.HK) saw their shares plunge over 25% in the afternoon.
According to Gate data, Samsung Electronics (07747.HK), a stock held by Southern Asset Odaily with a 2x long in Hong Kong, fell by more than 25% in the afternoon.
Rebellions, a South Korean AI chip startup backed by Samsung Electronics, plans to IPO in South Korea next year.
According to reports, Sunghyun Park, CEO of Rebellions, a South Korean AI chip startup backed by Samsung Electronics, stated that the company plans to IPO in South Korea in the first or second quarter of next year. Park said that Rebellions has already begun generating actual revenue, "and for this reason, we are working with the underwriting teams at JPMorgan Chase and Samsung Securities to prepare for the IPO." (Jiemian)