Lee Chae-won

The memory semiconductor industry has consolidated into a stable oligopoly (Samsung Electronics, SK Hynix, Micron). The AI era is driving sustained demand for memory (HBM) while supply is limited. Despite strong near-term earnings visibility, the market is valuing these memory stocks at only about 6x forward earnings, reflecting disbelief. This undervaluation provides room for multiple expansion, similar to how shovel suppliers profited during the gold rush.

Korean equities are attractive because the earnings yield (about 12% based on a KOSPI P/E of roughly 8x) significantly exceeds bond yields (around 3%) and real estate yields (4–5%). Capital flows from low-yield to high-yield assets, and the government's strong policy will to resolve the Korea discount supports equity inflows, making Korean stocks the most favorable asset class now.

The memory semiconductor industry has consolidated into a stable oligopoly (Samsung Electronics, SK Hynix, Micron). The AI era is driving sustained demand for memory (HBM) while supply is limited. Despite strong near-term earnings visibility, the market is valuing these memory stocks at only about 6x forward earnings, reflecting disbelief. This undervaluation provides room for multiple expansion, similar to how shovel suppliers profited during the gold rush.