Min Jae-gi

Samsung Electronics and SK Hynix remain the core semiconductor leaders; despite strong share price gains, their forward P/E ratios are still only 6.8x and 8x respectively, compared to Micron's 15x, and they are likely to re-rate toward at least 10x as earnings continue to surge. Their rapid recovery from the recent selloff further confirms market leadership and justifies a large portfolio weighting.

Samsung Electronics and SK Hynix remain the core semiconductor leaders; despite strong share price gains, their forward P/E ratios are still only 6.8x and 8x respectively, compared to Micron's 15x, and they are likely to re-rate toward at least 10x as earnings continue to surge. Their rapid recovery from the recent selloff further confirms market leadership and justifies a large portfolio weighting.

KOSPI has fallen to around 6x forward P/E, a level seen only during past crises such as the 2008 GFC and COVID-19. Historically, waiting through such deeply undervalued periods led to better selling opportunities. While further short-term downside is possible, selling now is likely a mistake; patient investors and those with cash can consider phased buying, provided the earnings outlook holds.

The most oversold Korean large-cap tech and hardware stocks – Samsung Electro-Mechanics, LG Innotek, SK Square, Doosan Fuel Cell, and Simmtech – fell 50–60% in July and hit daily upper limits on July 31 as the violent sell-off exhausted. In any sharp rebound after a crash, deeply oversold sectors and stocks lead the bounce, making these names the first place to look for tactical longs when sentiment turns.

The most oversold Korean large-cap tech and hardware stocks – Samsung Electro-Mechanics, LG Innotek, SK Square, Doosan Fuel Cell, and Simmtech – fell 50–60% in July and hit daily upper limits on July 31 as the violent sell-off exhausted. In any sharp rebound after a crash, deeply oversold sectors and stocks lead the bounce, making these names the first place to look for tactical longs when sentiment turns.

The most oversold Korean large-cap tech and hardware stocks – Samsung Electro-Mechanics, LG Innotek, SK Square, Doosan Fuel Cell, and Simmtech – fell 50–60% in July and hit daily upper limits on July 31 as the violent sell-off exhausted. In any sharp rebound after a crash, deeply oversold sectors and stocks lead the bounce, making these names the first place to look for tactical longs when sentiment turns.

Korean renewable energy is a neglected theme poised to return in 2H. The government will announce the Korean Green Transformation (KGX) and a domestic IRA in July, targeting a massive increase in renewable capacity from 39GW to 100GW by 2030. SK Group, with its renewable subsidiaries like SK Eternix and SK Ocean Plant, is the primary vehicle. The policy push, combined with green bond financing, creates a catalyst for a sector rotation when semiconductor momentum eventually cools.