Samsung Electronics, SK Hynix Go Higher... But This Signal Means True Peak / Should You Sell Secondary Battery and Biotech? | CEO Kim Hyung-chul

Summary

Kim Hyung-chul, CEO of Time Invest, analyzes the KOSPI rally led by Samsung Electronics and SK Hynix. He argues the semis are still cheap on earnings, advises holding, and identifies biotech and secondary batteries as sectors to avoid due to expensive valuations. He also highlights holding companies and semiconductor equipment as indirect beneficiaries, while dismissing concerns about foreign selling and short squeezes as non-critical.

• Samsung Electronics and SK Hynix are the main drivers, up 5% and 11% respectively on the day.
• Kim Hyung-chul believes the semiconductor rally can continue 50-70% higher based on low P/E vs US peers.
• He argues foreign selling is mechanical portfolio rebalancing, not bearish, and is absorbed by 130 trillion won in customer deposits.
• Biotech and secondary battery sectors are falling because their high multiples lack earnings support.
• Holding companies like SK Square and Samsung C&T are gaining as indirect plays on the semiconductor rally.
• Semiconductor equipment & materials stocks benefit from the coming capex cycle.
• A short squeeze would be a short-term peak, but not yet present.
• Autonomous driving (Hyundai Motor) has a narrative but is not cheap enough to overtake semiconductors.