Don't waver at the KOSDAQ rebound. The first Samsung Electronics and SK Hynix you bought are until you die | Myeong Min-jun, Park Ga-young, Yeom Seung-hwan

Summary

Yeom Seung-hwan, Director at LS Securities, discusses a volatile Korean market where KOSPI reversed early losses to close slightly higher and KOSDAQ surged 5%. He argues the correction is a buying opportunity, especially in undervalued Samsung Electronics and SK Hynix, backed by record semiconductor exports and unstoppable AI capex. KOSDAQ has likely bottomed with a 30th-anniversary policy catalyst ahead, while biotech, department stores, and cosmetics offer secondary plays; he warns against chasing overbought semiconductor equipment names.

• KOSPI whipsawed but closed in positive territory, while KOSDAQ jumped 5% as volatility subsided.
• Yeom believes this is a buy-the-dip correction; fundamentals are intact and AI demand is massive.
• Core long positions remain Samsung Electronics and SK Hynix, which look cheap on valuation vs Micron.
• KOSDAQ is forming a bottom and could benefit from a July 1 revitalization policy including a league system.
• Biotech is essential for any sustainable KOSDAQ recovery and is attractively positioned after absorbing bad news.
• Department stores, led by Hyundai Department Store, are being re-rated thanks to strong luxury sales growth.
• Semiconductor equipment stocks have rallied too fast; chasing here is risky and should be avoided.
• Korean cosmetics exports are booming globally, supporting the sector as a secondary allocation.