KB Securities: South Korean Chip Stocks Fall for Fifth Straight Session
Samsung Electronics and SK Hynix shares declined for the fifth consecutive trading day amid concerns over the sustainability of semiconductor earnings.
KB Securities analysts said investors remain sceptical about whether the AI boom can deliver consistent long-term profits.
Analysts noted that semiconductor companies remain vulnerable to industry cycles despite strong demand and rising profit expectations.
Easing supply bottlenecks could eventually lead to excess inventory and overinvestment, putting pressure on earnings.
KB Securities compared the risks to post-pandemic boom-and-bust cycles in diagnostic kits, masks, toilet paper and container shipping.
$KORU $SKHY $SAMSUNG
Samsung Electronics and SK Hynix shares declined for the fifth consecutive trading day amid concerns over the sustainability of semiconductor earnings.
KB Securities analysts said investors remain sceptical about whether the AI boom can deliver consistent long-term profits.
Analysts noted that semiconductor companies remain vulnerable to industry cycles despite strong demand and rising profit expectations.
Easing supply bottlenecks could eventually lead to excess inventory and overinvestment, putting pressure on earnings.
KB Securities compared the risks to post-pandemic boom-and-bust cycles in diagnostic kits, masks, toilet paper and container shipping.
$KORU $SKHY $SAMSUNG