Samsung Electronics(005930) released a large-scale shareholder return plan, but as it fell short of market expectations, the stock is down 4% on the 24th.
As of 9:08 a.m. that day, Samsung Electronics is trading at 267,500 won on the Korea Exchange, down 14,000 won (4.97%) from the previous session. At the same time, Samsung Electronics(1P)(005935) is trading at 192,900 won, down 14,100 won (6.81%) from the previous session.
Samsung Electronics resolved at a board meeting on the 21st to carry out shareholder returns totaling about 90 trillion to 110 trillion won this year alone. In the third quarter, it will pay cash dividends of about 30 trillion won. That amounts to about 5,000 won per share, more than 13 times the second-quarter dividends (374 won per share).
However, the scale of Samsung Electronics' shareholder returns fell short of market expectations, giving back its stock gains. Foreign investment bank Morgan Stanley said, "The absolute scale of shareholder returns has increased significantly, but much of it was expected," adding, "It slightly missed recent investor expectations." Earlier, KB Securities suggested that Samsung Electronics' shareholder returns this year could reach as much as 200 trillion won.
Accordingly, on the 21st, when the shareholder return plan was released, Samsung Electronics' stock gave up all gains in after-hours trading and closed at 270,000 won, lower than the previous session.