Samsung and SK Hynix Stocks Drop 8% on Foreign Selling Pressure

Samsung Electronics and SK Hynix stocks plunged on July 24, with Samsung falling 7.59% to 249,500 won and SK Hynix dropping 8.34% to 1,759,000 won. Foreign investors led the sell-off, offloading a combined 2.6 trillion won worth of shares in the two semiconductor giants. The decline followed negative commentary from Morgan Stanley analyst Sean Kim on the memory semiconductor sector outlook, triggering profit-taking after recent gains. The sharp drop reflects renewed concerns about peak semiconductor industry conditions despite strong AI infrastructure demand signals from Intel's quarterly results.

Foreign Investors Sell 2.6 Trillion Won in Samsung and SK Hynix Stocks

Foreign investors sold 871.1 billion won worth of Samsung Electronics shares on July 24, according to Korea Exchange data. Institutional investors also offloaded 858.8 billion won. Individual investors countered with net purchases of 1.69 trillion won.

SK Hynix experienced heavier foreign selling pressure, with foreign investors dumping 1.76 trillion won worth of shares. Institutional investors sold 867.4 billion won. Individual investors net purchased 2.57 trillion won in SK Hynix shares.

Both stocks fell below key psychological levels, with Samsung Electronics dropping below 250,000 won and SK Hynix falling below 1.8 million won.

Analyst Commentary Highlights Semiconductor Sector Concerns

Lee Kyung-min, a researcher at Daishin Securities, noted that Intel's Q2 revenue increased 25% year-over-year to $16.1 billion. Data center revenue grew 59%, confirming solid AI infrastructure demand. Intel raised its capital expenditure plan above $20 billion based on long-term contracts and strong demand, and mentioned memory supply bottlenecks, which supported sentiment in the memory semiconductor sector.

However, Morgan Stanley's Sean Kim presented negative views on the memory semiconductor industry outlook. Concerns about peak semiconductor industry conditions re-emerged, leading to profit-taking in semiconductor stocks that had surged the previous trading day.

FAQ

How much did Samsung Electronics and SK Hynix stocks fall on July 24?

Samsung Electronics fell 7.59% to 249,500 won, while SK Hynix dropped 8.34% to 1,759,000 won on July 24.

How much did foreign investors sell in Samsung and SK Hynix stocks?

Foreign investors sold a combined 2.6 trillion won, with 871.1 billion won in Samsung Electronics and 1.76 trillion won in SK Hynix shares sold on July 24.