Guyongdeok, Head of Mirae Asset Management Division, "Semiconductor Bottom Will Surface Early Next Year"

[Next Year's Stock Market Outlook Relay Interview]②
Guyongdeok, Head of Equity Management 1 and Research Division at Mirae Asset Global Investments
Semiconductor Stock Bottom Likely to Emerge Early Next Year... Auto Sector Also Worth Watching

Koo Yong-deok, Head of Equity Management Division 1 and Research Division at Mirae Asset Global Investments, predicted on the 12th that the semiconductor sector's stock price improvement would occur slightly earlier than the securities industry's expectations.

[Asia Economy Reporter Hwang Junho] "The semiconductor stock prices are expected to hit bottom in early next year."

On the 12th, Koo Yong-deok, Head of Equity Management Division 1 and Research Division at Mirae Asset Global Investments, stated, "The semiconductor sector posted record-breaking profits this year, but this has not been fully reflected in the stock prices."

He forecasts that the bottom will come about a quarter earlier than the market expects. As he mentioned, Samsung Electronics recorded its highest-ever earnings, but its stock price has been sluggish. Recently, Samsung Electronics announced Q3 sales of 73.98 trillion KRW and operating profit of 15.82 trillion KRW. This marks the highest quarterly sales for three consecutive quarters and the second-highest operating profit in history. However, concerns over the semiconductor industry's downturn have deepened, leading foreign investors to withdraw, and on the 11th, the stock price fell back to the '60,000 KRW level' after 8 trading days.

Koo said, "It is unlikely that a 'chicken game' caused by semiconductor industry deterioration will occur as in the past," adding, "Intel and others are planning to launch new products, and institutions are paying close attention, so the optimal investment timing is late this year or early next year." He also noted, "Foreign investors have net sold about 31 trillion KRW in the Korean stock market this year, with about 20 trillion KRW of that in Samsung Electronics and SK Hynix. If the bottom for these stocks is confirmed, foreign investors' return can be expected," explaining, "This is why Mirae Asset Global Investments views next year's stock market trend as 'high at the start and low at the end'." For the second half of next year, there is a possibility of interest rate hikes following the US tapering, so the stock price trend in the first half may be better.

Alongside semiconductors, he identified the automobile sector as a leading industry for next year's stock market. He anticipated profit improvements due to better supply of automotive semiconductors and benefits from the strengthened carbon reduction policies favoring electric vehicles. Koo predicted, "Next year, the market will continue to favor growth stocks," adding, "There will be improvements in the automobile sector, a sorting out of the secondary battery sector which received significant attention this year, and changes in the trends of renewable energy such as hydrogen and wind power."

Additionally, regarding the metaverse, he said it is a major trend, and with participation from existing large internet companies like Naver and Kakao, a full-fledged boom is expected. For the biotech sector, which has been stagnant over the past year, he expects positive momentum to return next year.

Especially with the expected stock market downturn next year, he believes expectations for indirect investment products will grow, emphasizing the importance of selecting quality products. Koo stated, "Given the promising outlook for semiconductors and automobiles, interest in the Mirae Asset Core Tech Fund will increase," forecasting, "Although it recorded a return of about 41.66% over the past year, the situation next year will be even better."

This content was produced with the assistance of AI translation services.