[Featured Stock] Samsung Electronics Rises Despite Weak Q3 Earnings Outlook

[Asia Economy Reporter Hwang Yoon-joo] Samsung Electronics turned to gains despite forecasts that its third-quarter earnings would fall short of consensus. Although the stock opened lower immediately after the market opened, it is interpreted that bargain buying has flowed in.

As of 9:07 a.m. on the 28th, Samsung Electronics is trading at 54,300 won, up 0.18% (100 won) from the previous trading day. Right after the market opened today, Samsung Electronics was traded at 54,000 won, down 0.37% (200 won).

Park Yoo-ak, a researcher at Kiwoom Securities, stated, "The Display (SDC) and Mobile (MX) divisions are expected to improve their performance compared to the previous quarter due to the peak season effect, but in the case of memory semiconductors, operating profit is expected to decrease significantly compared to the previous quarter due to a decline in shipments and price drops."

Researcher Park projected Samsung Electronics' third-quarter sales to increase by 5% year-on-year to 77.7 trillion won, and operating profit to decrease by 27% to 11.5 trillion won. The market consensus was sales of 78.2 trillion won and operating profit of 12.2 trillion won.

In particular, DRAM is expected to see a significant reduction in inventory reflected in lower prices and reduced shipments. NAND is expected to see its operating profit margin fall by 11 percentage points compared to the previous quarter due to a sharp price drop.

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