Frustrated Retail Investors Exhausted by Stagnant Stock Prices, 'Samsung Electronics' Shows Net Selling Dominance for the First Time in a Year

Samsung Electronics Net Sold 259.4 Billion KRW Over 10 Trading Days
If Selling Pressure Persists, Monthly Net Selling Could Resume After About a Year

[Asia Economy Reporter Minji Lee] As Samsung Electronics' stock price showed sluggish movement, individual investors have turned to net selling for the first time in over a year.

According to the Korea Exchange on the 14th, from November 1 to 12, individual investors net sold common shares of Samsung Electronics worth 259.4 billion KRW over 10 trading days. If the selling trend continues until the end of this month, individual investors will switch to monthly net selling of Samsung Electronics for the first time in a year since November last year, when they net sold 1.0164 trillion KRW.

Since the beginning of this year, the cumulative net purchase amount by individual investors in Samsung Electronics has reached 35.1324 trillion KRW. As of the end of June, the number of small individual shareholders stood at 4,546,497, more than doubling from 2,153,969 at the end of last year during the first half of this year alone.

However, Samsung Electronics' stock price declined despite the buying spree by individual investors. Starting from November last year, Samsung Electronics' stock price sharply rose on expectations of a 'semiconductor supercycle,' reaching an all-time high by surpassing 90,000 KRW in January. Since then, it moved sluggishly within the 80,000 KRW range before entering a clear downtrend in the second half amid concerns that the memory semiconductor market outlook might worsen. Samsung Electronics' stock price fell 12.84% from 81,000 KRW at the end of last year to 70,600 KRW on the 12th. Compared to the intraday high of 96,800 KRW on January 11, the decline rate is 27.07%.

Dividing the net purchase amount of Samsung Electronics by individuals since the beginning of the year by the net purchase volume (436,952,516 shares) estimates an average purchase price of approximately 80,403 KRW. It is presumed that many individual investors who bought Samsung Electronics shares this year are currently at a loss.

Lee Seung-woo, Head of Research Center at Eugene Investment & Securities, explained, “Despite posting record-high sales and earnings exceeding expectations, this year's stock price performance is dismal. For the stock price to rise, there needs to be a signal that the memory cycle is approaching a definite bottom or proof of differentiation from competitors. Additionally, showing the possibility of change through business structure reorganization or strategies such as mergers and acquisitions will be necessary.”

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