It's not a sell-on... The reason Samsung Electronics' stock price plummeted despite a surprise earnings report is 'this' / Is now the buying timing for semiconductor materials, parts, and equipment? | Shin Jun-ho, Head of LS Securities

Summary

Shin Jun-ho, Head of LS Securities, explains why Samsung Electronics fell despite strong Q2 earnings. He argues the market is shifting from ASP-driven memory boom to volume growth, and near-term uncertainty requires patience. He advises holding existing Samsung/SK Hynix positions but waiting for hyperscaler guidance before new entries. He sees the next alpha opportunity in Korea’s semiconductor materials and equipment sector, which should gain momentum after August earnings and government policy moves. Samsung’s foundry turnaround is an early, unconfirmed catalyst worth monitoring.

• Samsung Q2 earnings were strong but the stock dropped on fears of margin peak and ASP deceleration.
• Memory cycle is moving from price-driven to volume-driven growth, creating short-term headwinds.
• Existing holders of Samsung (005930.KS) and SK Hynix (000660.KS) should hold; new buyers should wait for July hyperscaler capex signals.
• Alpha is expected to migrate from memory stocks to Korea’s semiconductor materials and equipment sector.
• 소부장 sector could rally after August earnings confirmations and government select-company policy clarity.
• Samsung’s foundry profitability, if officially confirmed, could become a long-term re-rating catalyst.
• Retail liquidity has weakened due to leverage product losses, amplifying downside volatility.