Daishin Securities noted on the 2nd that Samsung Electronics' performance recovery is expected to be delayed until the second quarter of this year. Accordingly, the investment opinion is "buy," and the target stock price has been revised down by 8% from the previous 85,000 won to 78,000 won. The closing price for Samsung Electronics on the previous trading day was 53,200 won.
Daishin Securities estimated that Samsung Electronics' revenue this year would be 306 trillion won, a 1.7% increase from the previous year, and operating profit would be 35 trillion won, a 3.6% increase. Shin Seok-hwan, a researcher at Daishin Securities, said, "Despite solid demand for high-bandwidth memory (HBM) and server memory, Samsung Electronics' HBM mass production schedule has been delayed beyond expectations, and there has been a decline in semiconductor prices due to weakening demand in B2C (smartphone, PC) and oversupply of legacy memory."
.He further explained, "Sales in the fourth quarter of last year are projected to be 76.6 trillion won and operating profit is expected to be 7.6 trillion won, which will be below market expectations. This is particularly due to a decrease in smartphone shipments in the fourth quarter, a decline in memory semiconductor prices, the reflection of one-time expenses, continued foundry losses, and deteriorating display profitability caused by intensified competition from North American clients."
Shin noted, "However, revenue this year is expected to improve slightly compared to last year, reaching 306 trillion won and operating profit of 30.5 trillion won," adding, "Growth is anticipated from improvement in IT demand and gradual supply expansion of 8-layer and 12-layer HBM3E for major clients along with the focus on DDR5 and LPDDR5 supply."