Samsung Electronics and SK Hynix Are Still Buy Territory… Why Going All-In on Semiconductors Is Risky | Lee Jae-kyu, SK Securities PB Deputy General Manager

Summary

SK Securities PB Lee Jae-kyu discusses why investors should refresh their portfolios rather than stay concentrated in Samsung Electronics and SK Hynix. He still views Samsung Electronics, SK Hynix and Korean semiconductors as buy-on-dip but says concentration is risky, and he highlights rotation into food and cosmetics, KOSDAQ ETFs, secondary batteries and ESS, Hanmi Pharm, and biotech and pharma. He also stresses cash management and using ETFs given fast rotation and high volatility.

• Market remains volatile but KOSPI and KOSDAQ breadth is improving and rotation is broadening beyond semiconductors.
• Samsung Electronics, SK Hynix and Samsung Electronics preferred shares are seen as buy-on-dip despite the pullback.
• Concentrating heavily in semiconductors is seen as risky; lower-tier semis are also attractive if trend support holds.
• KOSDAQ is viewed positively if relative strength persists through September 6, preferably via ETFs.
• Secondary batteries and ESS are seen as benefiting from AI data center security, US-China restrictions and possible shortages.
• Hanmi Pharm and broader biotech and pharma are highlighted as areas to watch, with ETF access recommended.
• Food and cosmetics names such as Korea Kolmar, Samyang Foods and Binggrae may signal an asset allocation rotation.