Don't Be Afraid of KOSPI Plunge, The Leading Stocks That Will Eventually Drive the Market Are Samsung Electronics and SK Hynix | Hong Seon-ae, Lee Kwon-hee, Kim Jang-yeol

Summary

The KOSPI fell 3.25% on May 19, driven by continued foreign selling and a weak won. Guest analysts argued the decline is largely a result of foreign investors' massive short futures positions, not fundamental deterioration. They highlighted Samsung Electronics and Hyundai Motor as undervalued buying opportunities, and discussed Hanmi Semiconductor's customer shift to Micron as a recovery catalyst. The market is seen in an adjustment phase with a potential floor near KOSPI 6,880.

• KOSPI dropped 3.25% to 7,271, KOSDAQ fell 2.4% to 1,084.
• Foreign investors sold for the 9th consecutive day, with net selling exceeding 6 trillion won.
• Won weakened to 1,507 per dollar, moving in tandem with the yen.
• Lee Kwon-hee attributed the decline to foreign short futures positioning, warning of a possible test of 6,880.
• Kim Jang-yeol recommended buying Samsung Electronics below 270,000 won, citing low PER and pending labor resolution.
• Hyundai Motor was called the cheapest robotics stock globally, with a buy zone below 60,000 won.
• Hanmi Semiconductor was highlighted as a turnaround play due to growing Micron orders.
• Overall, the KOSPI's PER of 8x was seen as cheap, supporting a long-term bullish view.