Samsung Electronics Raised, SK Hynix Lowered—Why Target Prices Split / The Next Sector for Semiconductor Stock Rallies | LS Securities Center Head Shin Jun-ho

Samsung Electronics raised and SK Hynix lowered… The decisive reason for the split target price / The next sector for semiconductor stock price increase | LS Securities Shin Jun-ho Center Head

Watch on YouTube ↗ | September 02, 2026 at 07:00 | 20:31 | 815 Money Talk (815머니톡)

Speakers

Shin Jungho — Head of Research Center, LS Securities

Summary

LS Securities Center Head Shin Jun-ho discusses Korea's rate path and the split in Samsung Electronics and SK Hynix target prices, arguing Samsung's diversification and foundry improvement justify relative preference over SK Hynix in H2. He expects S&P 500 strength to continue as AI ecosystem leadership rotates from semiconductors into power, cooling, construction, network and security infrastructure. For Korean equities, he sees the KOSDAQ small/mid-cap empty-house trade continuing, with software, insurance, energy infrastructure, construction, and power transmission/distribution favored.

BOK is seen holding in September after back-to-back hikes, with a terminal rate around 3.25% and one more hike possible.
Samsung's shareholder return is constrained by governance, while SK Hynix needs buyback-and-cancellation continuity to re-rate.
Foreign inflows into Samsung/SK Hynix are expected around late Q1 to Q2 next year when leading indicators bottom.
S&P 500 can keep rising as AI ecosystem rotation moves beyond GPUs and memory into infrastructure.
Target price divergence reflects Samsung's diversification and foundry optionality versus SK Hynix's HBM concentration.
In Korea, favored second-half sectors include KOSDAQ small/mid caps, software, insurance, energy infrastructure, construction, and power transmission/distribution.

Ideas

Shin Jungho Head of Research Center, LS Securities 2:47

Samsung governance binds; Hynix continuity re-rates

Samsung Electronics' July shareholder return helped mark a price bottom because the dividend yield hit about 5% with a 40% drawdown, but its inability to combine buybacks with cancellations, due to governance structure, re-exposed Korea's corporate governance discount. SK Hynix does buyback-and-cancel, so its re-rating depends on showing continuity, while Samsung's re-rating requires resolving governance constraints.

Shin Jungho Head of Research Center, LS Securities 7:42

S&P 500 keeps rising on AI expansion

For the remainder of H2, the index itself may be difficult, but individual stocks can still work. For index exposure the S&P 500 is preferable, while for stock-picking Korean names are better because fast rotational buying can move individual stocks, requiring patience until one's stock moves.

Shin Jungho Head of Research Center, LS Securities 9:18

AI cash rotating beyond memory to infrastructure

Big Tech cash that previously went to memory is now rotating into the AI data center's physical and security infrastructure, including power, cooling, construction, networking, and security, and into mid/small-cap names. This broadening is the next leg of AI ecosystem expansion.

Shin Jungho Head of Research Center, LS Securities 13:34

Korean semiconductor materials beat equipment now

In Korea's semiconductor supply chain, equipment names have already re-rated on capex expectations, but utilization rates need to rise first. Therefore the better positioning is semiconductor materials plus Samsung Electronics rather than equipment.

Shin Jungho Head of Research Center, LS Securities 13:34

Korean semiconductor materials beat equipment now

In Korea's semiconductor supply chain, equipment names have already re-rated on capex expectations, but utilization rates need to rise first. Therefore the better positioning is semiconductor materials plus Samsung Electronics rather than equipment.

Shin Jungho Head of Research Center, LS Securities 14:11

KOSDAQ empty-house trade continues into November

The overlooked small/mid-cap 'empty house' trade can continue from September through November because Korean small/mid caps are depressed and cheap, the economy is slowing but not crashing, and cash is rotating away from memory into neglected cash-generating, low-valuation names.

Shin Jungho Head of Research Center, LS Securities 14:35

Watch Korean energy infrastructure and traditional energy

With cash leaving memory and the US showing energy infrastructure strength, Korea's energy-related names including nuclear and traditional/chemical energy are cheap and worth monitoring as part of the rotation into infrastructure beneficiaries.

Shin Jungho Head of Research Center, LS Securities 15:01

Korean software cheap AI cost play

Korean software is an overlooked, cheap sector that continues to earn. US software is becoming a platform for AI-driven cost reduction, and Korean software should benefit similarly.

Shin Jungho Head of Research Center, LS Securities 15:11

Prefer Korean insurance over banks now

Within financials, prefer insurance over banks because insurers are very cheap, loss ratios are falling, and high interest rates reduce debt burdens. Small/mid-cap insurance names look especially good in September.

Shin Jungho Head of Research Center, LS Securities 15:11

Prefer Korean insurance over banks now

Within financials, prefer insurance over banks because insurers are very cheap, loss ratios are falling, and high interest rates reduce debt burdens. Small/mid-cap insurance names look especially good in September.

Shin Jungho Head of Research Center, LS Securities 16:29

Large-cap Korean construction enters re-rating

Korean construction is entering a re-rating window. The sector has already worked through past PF/domestic pain, reduced domestic exposure, and now has added momentum from data center and energy infrastructure construction, with lead times aligning, so large-cap construction is more attractive than small/mid construction.

Shin Jungho Head of Research Center, LS Securities 18:28

Focus Korean transmission and distribution power

Power stocks are temporarily choppy because of pre-midterm election AI regulation headlines, but after this political period passes, transmission and distribution equipment should be the focus because it requires more replacement/rotation and AI data center power demand remains.

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This 815 Money Talk (815머니톡) video, published September 02, 2026, features Shin Jungho discussing 000660.KS, 005930.KS, SPY, EWY, US AI data center infrastructure (power, cooling, construction, network, security), SMH, Korean semiconductor equipment, KOSDAQ Index, Korean energy infrastructure and traditional energy, Korean software sector, KBE, Korean Insurance Sector, Korean large-cap construction, Korean power transmission/distribution. 12 trade ideas extracted by AI with direction and confidence scoring.

Speakers: Shin Jungho · Tickers: 000660.KS, 005930.KS, SPY, EWY, US AI data center infrastructure (power, cooling, construction, network, security), SMH, Korean semiconductor equipment, KOSDAQ Index, Korean energy infrastructure and traditional energy, Korean software sector, KBE, Korean Insurance Sector, Korean large-cap construction, Korean power transmission/distribution