Emergency Interview: Panic Crash... Don't Sell Off Now / You Must Trust Samsung Electronics and SK Hynix Earnings

Summary

In this emergency interview after a sharp KOSPI/KOSDAQ crash, Kiwoom Securities Research Fellow Han Jiyoung urges investors not to panic sell. He maintains his summer target of KOSPI 10,000, backed by solid earnings and valuations, and expects Samsung Electronics and SK Hynix upcoming results to beat lowered expectations. He also sees rotation opportunities, strongly recommending Korean securities stocks on an index-divergence trade, and noting foreign accumulation in cyclical sectors like steel, chemicals, and shipping. Leverage is only adding volatility, not a crash driver, and he advises holding onto leading semiconductor stocks.

• KOSPI suffered a large one-day drop but the bullish view for 10,000 this summer remains unchanged.
• Earnings and valuations are intact; panic selling is not advised; the sell-off is seen as noise.
• Samsung Electronics and SK Hynix upcoming earnings expected to beat lowered consensus, providing upside catalysts.
• Korean securities stocks are a top rotation pick due to a historically rare divergence from KOSPI that should converge.
• Foreign investors are selling semiconductors for profit-taking but quietly accumulating cyclical sectors (steel, chemicals, non-ferrous metals, shipping).
• Single-stock leveraged ETFs are amplifying daily volatility but not causing a systemic crash; investors need to endure swings.
• Strategy: hold onto leading stocks (semiconductors) as they recover fastest after corrections.