Extreme concentration in Samsung Electronics and SK Hynix, is it a danger signal? / KOSPI surged 111% this year, KOSDAQ fell -4%, unprecedented polarization | CEO Kim Hyeong-cheol

Summary

The interview with CEO Kim Hyeong-cheol highlights the severe KOSPI-KOSDAQ performance divergence caused by Samsung Electronics and SK Hynix's dominance. He warns that the valuation gap between SK Hynix and Micron has closed, eliminating the cheapness argument and suggesting caution on new purchases. He advises waiting for SK Hynix's July earnings, and expects half-year rebalancing to benefit defense, shipbuilding, and power equipment. He also recommends global diversification into US biotech and Japanese retail, and sees a profit-taking target on KOSPI near 10,000.

• Samsung Electronics and SK Hynix propel KOSPI +111% YTD while KOSDAQ falls -4%, creating extreme concentration.
• SK Hynix's PER now matches Micron's, closing the historical discount; new buying is risky.
• Existing semiconductor holdings should be kept, but fresh entries should be delayed until after Q2 earnings.
• Half-year rebalancing could unlock capital into defense (LIG Nex1, Rheinmetall), shipbuilding, and power equipment sectors.
• Prefer global plays: US biotech (XBI) and Japanese retail (Fast Retailing) over struggling Korean small-caps.
• Tactical sell target on KOSPI around 10,000, taking profits from 9,500 upward.
• Memory cycle not over but valuations no longer support aggressive accumulation.