Samsung Electronics and SK hynix, the two top stocks that threw open the era of KOSPI 6000, each broke through 200,000 won and 1 million won the previous day, fundamentally lifting the price ceiling of Korea's stock market. In the market, optimism is dominant that these semiconductor giants still have ample room for further share-price gains.
Beyond a simple rebound, an unprecedented supercycle driven by the explosion of the artificial intelligence (AI) industry has entered full swing, and analysis is gaining ground that, even after hitting record highs, the valuations of Samsung Electronics and SK hynix remain in an undervalued phase compared with global competitors.
When ChosunBiz asked the heads of research at 11 major domestic securities firms about the future share-price outlook for the two stocks, most said they expect "the bullish trend to continue." Given the strong demand for memory semiconductors, they judge that this year's earnings outlook for the two companies will be revised upward along with industry conditions.
Cho Soo-hong, head of research at NH Investment & Securities, said, "I think the semiconductor cycle is likely to continue for the time being. Even in the off-season, first-quarter memory prices are holding up stronger than expected, and as 2026 big tech capital expenditures (CAPEX) exceed the consensus (market average estimate), AI infrastructure investment demand is being confirmed in the real economy."
Kim Dong-Won, head of research at KB Securities, said, "There is still upside potential for Samsung Electronics and SK hynix," adding, "Earnings estimate upgrades are continuing at a steep pace. As memory semiconductors become a strategic asset for AI infrastructure, shortages are occurring and prices are surging. Two years ago we were simply focused on HBM, but now demand is expanding across the entire product range to DRAM and NAND flash."
As the semiconductor supercycle continues, they say there is remaining upside potential for Samsung Electronics and SK hynix in line with profit improvement across the semiconductor sector. Yoon Seok-mo, head of research at Samsung Securities, likewise projected, "Ultimately, based on improving profit momentum for the overall semiconductor sector, the current target prices for Samsung Electronics and SK hynix are 230,000 won and 1.3 million won, respectively."
Although Samsung Electronics and SK hynix have recently hit peaks such as "200,000 jeonja" and "1 million nyx," most research heads still assessed that the two companies' valuations are undervalued compared with global corporations.
Kim Dong-Won said, "It is true that the two stocks have risen a lot in the short term, so we should keep in mind share-price volatility," but added, "We can see Samsung Electronics and SK hynix as undervalued because the combined market capitalization of the two companies is less than 2,000 trillion won. But TSMC's market capitalization is 2,700 trillion won."
Lee Jong-hyung, head of research at Kiwoom Securities, said, "Given current valuations, compared with major overseas corporations, they are still extremely undervalued," adding, "Earnings estimates keep rising, but with valuations low, I think additional share-price gains are possible."
Foreign securities firms are also taking a forward-leaning stance by issuing bold forecasts for Korea's top two semiconductor stocks. Macquarie, in a report that day, sharply raised its target prices for Samsung Electronics and SK hynix to 340,000 won and 1.7 million won, respectively.
Nomura Financial Investment also raised its KOSPI index forecast, placing weight on the unrivaled growth of Korea's semiconductor corporations. With the market leaders ranked No. 1 and No. 2 by market cap on the main board expected to keep sprinting for the time being, there is effectively no disagreement among domestic and foreign research centers.
The heads of research advised that if a rotational rally continues, investors should focus not only on the semiconductor sector but also on AI infrastructure-related stocks such as power equipment and nuclear power, as well as the robotics and securities sectors.
Lee Jin-woo, head of research at Meritz Securities, said, "From the perspective of where profits are currently largest, it is AI infrastructure, within which we are looking at semiconductors as a part," and assessed, "If the stock market's uptrend continues further, I think a rotational rally centered on power or energy-related stocks will unfold." Cho Soo-hong likewise said, "Outside semiconductors, I see power equipment, nuclear power and ESS, the bottleneck areas for the spread of AI infrastructure, as promising."
With the AI industry booming, there was also analysis that buying in robotics stocks will continue. Kim Dong-Won said, "We should view the rotational rally within the megatrend of the AI industry," adding, "Hyundai Motor Group shares are in the auto sector, but they also have competitiveness in robotics, a core of physical AI."
Many research heads also positively evaluated securities shares, where improving results are emerging, including increased transaction value due to the KOSPI bull run.
Yang Ji-hwan, head of research at Daishin Securities, said, "Given the increase in transaction value, the securities sector, which has significant room for upward earnings revisions, is promising as the next leading sector." Lee Jin-woo likewise said, "I judge that financials, centered on securities stocks, are targets for rotation."