Samsung Electronics, SK Hynix Plunge 19-27% in July as Brokerage Maintains Buy Ratings

According to Korea Exchange data, Samsung Electronics and SK Hynix stock prices fell 19.16% and 27.58% respectively in July, with Samsung closing at 270,000 won and SK Hynix at 1.919 million won as of July 24. Despite the sharp decline, domestic brokerages maintained optimistic outlooks, raising average price targets to 513,958 won for Samsung (90.35% upside) and 3.547 million won for SK Hynix (84.88% upside), citing no fundamental issues.

However, retail investors remain cautious, citing uncertainty over timing of stock recovery. Analysts attribute the selloff to concerns about AI investment sustainability, though brokerages expect Big Tech to maintain AI spending. Memory chip stocks trade at 12-month forward PER of 4x, near historic lows from the 2008 financial crisis.