Ultimately, these are the ones that will go all the way | Lee Jae-man, Head of Global Investment Analysis Team, Hana Securities Research Center

Summary

Lee Jae-man of Hana Securities argued that the February pullback is a buying opportunity within a first-half uptrend, with Korean semiconductors and autos as the main leadership. He highlighted record semiconductor earnings and more than 30% upside, Hyundai Motor's robotics optionality, and a potential KOSDAQ catch-up trade. He also said cosmetics and other consumer names could attract flows only if long-term rates fall.

• Korean equities are seen as a first-half buy after a January rally and February pullback.
• Semiconductors are the key earnings driver; Samsung Electronics and SK hynix are expected to benefit from record profit cycles.
• Hyundai Motor is viewed as a robotics-linked re-rating story with room versus other Korean groups.
• KOSDAQ is presented as a laggard with potential catch-up upside if the KOSPI-KOSDAQ gap narrows.
• Cosmetics and consumer discretionary depend on lower long-term interest rates to attract flows.
• ETF flows and passive products favor large caps, leaving cosmetics under-owned.
• Commodity and crypto weakness is seen as having limited direct impact on the Korean market.