MP Partners CEO Warns Semiconductor Downside Driven by Deleveraging, Not Fundamentals on July 27

According to Financial News on July 27, MP Partners CEO Park Byung-chang attributed recent semiconductor stock declines primarily to supply-demand pressure and margin liquidation rather than deteriorating industry conditions. Individual investor margin balances fell approximately 5 trillion won in July amid ongoing deleveraging, he noted.

Park argued that physical constraints—including power shortages, limited land availability, and insufficient DRAM production capacity—make it unlikely for oversupply to materialize despite increased big tech spending. Analysts and semiconductor CEOs have signaled supply shortages will persist and valuations remain depressed, yet stock prices continue to fall, he added. This week, defending the recent low point while breaking above the 7,000 level would confirm market stabilization.