Global investment bank (IB) Goldman Sachs raised its KOSPI target to 9,000. It lifted the bar again about 20 days after presenting its previous forecast of 8,000. It is seen as focusing on the possibility that the memory chip supercycle driven by expanded artificial intelligence (AI) investment will last longer.

On the afternoon of the 8th, at the Hana Bank dealing room in Jung-gu, Seoul, the KOSPI stands at 7,498.00, up 7.95 points (0.11%), as the index closes at a record high for the fourth consecutive session./Courtesy of News1

According to foreign media including Business Insider on the 8th, Goldman Sachs maintained its "overweight" view on Korean stocks in a report published on the 6th and set its KOSPI target at 9,000. Goldman Sachs rated the Korean market as the "top market" in Asia.

Goldman Sachs said, "Korean stocks have shown the strongest upward momentum among major global markets this year, but there is still room for further gains." It added, "Despite the recent surge, valuation pressure is relatively limited," and analyzed, "The market has not fully reflected the sustainability of earnings in the memory chip sector."

In particular, it gave a strong assessment of prospects for the semiconductor industry. Goldman Sachs explained that as AI investment by major cloud corporations continues to expand, shortages of DRAM and NAND are deepening. As a result, it expects memory prices to keep rising and said domestic semiconductor corporations are highly likely to maintain profitability for longer than expected.

It also cited the spread of AI agents and the increase in long-term supply contracts as factors that enhance the earnings stability of domestic memory manufacturers. Goldman Sachs projected that hardware and semiconductors will be the key engines driving profit growth for Korean corporations.

Other global investment banks are also raising their expectations for Korean stocks. Citigroup said in a report the previous day that "a strong semiconductor cycle is offsetting the burden of high oil prices," and raised its KOSPI target to 8,500 from 7,000.

Meanwhile, the KOSPI closed at 7,498.00, up 7.95 points (0.11%) from the previous trading day. It broke the record high on a closing basis again in just one day after the mark set the previous day.

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