Ideas
Overreaction to rumors makes memory makers oversold.
The recent 7-8% plunge in Samsung Electronics and SK hynix is an overreaction to unconfirmed rumors about Chinese mobile makers boycotting Q3 prices and HP/Dell cutting server orders, combined with macro fears and Alphabet's capex interpretation. The valuation gap with Micron has widened significantly, making them oversold. The upcoming earnings calls will be crucial to clarify LTA pricing and dispel rumors.
Strong earnings and lower valuation drive attractiveness.
Samsung Biologics reported strong earnings exceeding guidance, with 1H operating profit over 1 trillion won, transforming into a company capable of 2 trillion won annual profit. Its PER valuation has dropped from 80-90x to around 30x, making it highly attractive.
Stable defensive stock with strong shareholder returns.
KT&G is a stable defensive stock with strong shareholder return policies, including share buybacks and cancellations, making it an attractive safe haven in a highly volatile market.
Massive share buyback demonstrates strong shareholder value.
Yuhan announced a massive share buyback of 420 billion won (about 7.6% of total shares), which should theoretically drive the stock up 10%, demonstrating a strong commitment to shareholder value.
Strong institutional buying for dividends and buybacks.
Meritz Financial Group shows beautiful supply-demand dynamics with strong institutional and foreign buying for stable dividends and share cancellations. It acts as a safe haven during high market volatility.
Benefiting from US-Korea shipbuilding cooperation expectations.
Korean shipbuilding equipment makers like Hyundai Himcs and Ilseung are benefiting from expectations around the US-Korea shipbuilding cooperation (MACA project) and potential US investments. Smaller equipment makers move faster than large shipbuilders.
Attractive valuations and upcoming fall/winter orders.
Korean defense stocks have seen their valuations drop to around 20x, similar to US peers, despite having higher growth potential. With order momentum expected in the fall/winter, they are attractive portfolio additions during dips.
Benefiting from Samsung Electronics' factory expansion execution.
NH Investment & Securities raised its target price for Samsung E&A to 80,000 won based on the execution of Samsung Electronics' factory expansion. It is a stable stock that didn't drop much even in a volatile market.
Bull market correction will recover within months.
Despite the recent sharp drop, the Korean market is still in a bull market. Historically, in a bull market, a max drawdown of over 30% takes about 5 months to recover to previous highs. Foreigners are starting to buy on dips, indicating a bottoming process.
Big tech will maintain AI capex regardless.
Despite Alphabet's negative free cash flow causing market panic, big tech companies will not reduce AI capex because falling behind in the AI race means losing their core business. They will justify increased spending by citing the need for more computing power to develop advanced models.
Spiking CDS spread indicates significant credit risk.
Oracle's CDS spread has spiked to 2008 financial crisis levels, indicating significant credit risk and borrowing difficulties. However, this risk is isolated to Oracle and does not reflect a systemic issue for other big tech companies.
Extreme oversold levels offer strong rebound potential.
The KOSDAQ index has fallen to COVID-19 crash levels, making valuations extremely cheap. As the market shifts from a semiconductor monopoly to a stock-picking market in the second half, neglected and oversold sectors in the KOSDAQ will rebound.
Park Ji-hoon
Director, Asset Management Consulting Dept., NH Investment & Securities
255:50
Key partner for potential US nuclear projects.
If Trump pushes for nuclear power, Doosan Enerbility is the only viable partner for US nuclear projects. The stock has halved from its peak, offering significant upside potential.
Park Ji-hoon
Director, Asset Management Consulting Dept., NH Investment & Securities
256:40
Improving earnings and potential oil price drop.
KEPCO's earnings are improving significantly, with an expected 11 trillion won this year and 16 trillion next year. If a US-Iran deal lowers oil prices, KEPCO's earnings volatility will decrease, making its current valuation highly attractive.
Park Ji-hoon
Director, Asset Management Consulting Dept., NH Investment & Securities
262:30
Strong US backlog and massive domestic demand.
Despite high PERs compared to global peers, Korean power equipment makers have full US order backlogs until 2028. Additionally, the construction of massive domestic semiconductor clusters will drive explosive domestic demand, justifying a rerating.
Park Ji-hoon
Director, Asset Management Consulting Dept., NH Investment & Securities
265:50
Strong presales and extremely low valuation.
GS E&C is benefiting from strong domestic presales (already achieving the annual target by July) and higher apartment prices. With an estimated operating profit of 500-600 billion won, its PER is only 5x. Potential Ukraine rebuilding and nuclear projects could further boost earnings.
This 3PRO TV (삼프로TV) video, published July 24, 2026,
features Kim Jang-yeol, Lee Kwon-hee, Vincent, Song Jaekyung, Lee Jae-kyu, Park Ji-hoon
discussing 005930.KS, 000660.KS, 207940.KS, 033780.KS, 000100.KS, 138040.KS, 333430.KQ, 460930.KQ, 079550.KS, 012450.KS, 064350.KS, 028050.KS, EWY, GOOGL, ORCL, KOSDAQ, 034020.KS, 015760.KS, 010120.KS, 267260.KS, 298040.KS, 006360.KS.
16 trade ideas extracted by AI with direction and confidence scoring.
Speakers:
Kim Jang-yeol,
Lee Kwon-hee,
Vincent,
Song Jaekyung,
Lee Jae-kyu,
Park Ji-hoon
· Tickers:
005930.KS,
000660.KS,
207940.KS,
033780.KS,
000100.KS,
138040.KS,
333430.KQ,
460930.KQ,
079550.KS,
012450.KS,
064350.KS,
028050.KS,
EWY,
GOOGL,
ORCL,
KOSDAQ,
034020.KS,
015760.KS,
010120.KS,
267260.KS,
298040.KS,
006360.KS
