Nvidia Earnings Release D-1: Where Are Samsung and SK hynix Shares Headed?

The judgment is that the current share price does not fully reflect the company's intrinsic value.

Outlooks have emerged that Korean chip stocks, including Samsung Electronics and SK hynix, may see intraday volatility right after Nvidia's earnings release. However, the analysis holds that once the release ends, market wariness will fade and bargain buying is likely to come in.

Such large-scale buybacks are expected to supply liquidity to the market, support share prices from below, and help defend the index.

For stocks that have rallied sharply in the short term, the recommended strategy is to take profits, reduce exposure, and rotate into names with higher guidance.

This would be a first in Korea, and expectations are growing that it could become a blockbuster-scale drug with annual sales of around 100 billion won.

Attention is focused on whether mass production volumes will expand and whether Samsung Foundry's return to profitability will come sooner.

One analysis holds that chip stocks could move even more strongly after Nvidia's earnings release. The pre-release rebound is seen as a sign of confidence, and bargain buying is expected to flow in once wariness dissipates. Samsung Electronics and SK hynix are described as being in an attractive buying range.

This is analyzed as a force that can provide solid share price support even when noise arises in the market.

Many stocks move on growth expectations rather than earnings, so a selective approach focused on names with confirmed earnings and orders is needed. For short-term trading, target and stop-loss prices should be set clearly.

When building a pharma and biotech portfolio, holding core stocks is recommended, much like Samsung Electronics and SK hynix in the chip market. ST Pharm and Samsung Biologics are recommended as core holdings based on annual earnings growth and steady order backlogs, and a staggered buying approach is seen as advantageous. The advice is to build portfolios around quality earnings stocks and focus on companies with stable growth prospects rather than short-lived theme stocks.

He is expected to express strong confidence in the data center business, and robot-related stocks could see further upside if a physical AI roadmap is announced.

Reports carried by Russian news agencies of a US-Iran ceasefire agreement, including the reopening of the Strait of Hormuz, are fueling expectations of an end to the conflict. This could trigger reconstruction demand in the Middle East alongside falling oil prices, and is analyzed as a driver for related reconstruction stocks.

Despite the Ministry of Trade, Industry and Energy's official denial, speculation that Westinghouse is buying a stake continues to build expectations in the market. This is linked to hopes for participation in US nuclear projects and easing of power supply bottlenecks. Given the government's reaffirmed nuclear policy direction, nuclear stocks are seen by some as in a valid buying range on dips.

Analysts say related stocks may move before and after the listing, similar to cases involving major US big tech companies.

The key point to watch in Nvidia's earnings release is its third-quarter guidance. Wall Street consensus projects third-quarter revenue of 100 billion dollars for the first time ever, so whether Nvidia can present guidance above market expectations will be decisive. Also worth watching are the possibility of resolving yield issues and a new market trend recognizing GPUs as collateral.

KB Securities maintained a conservative stance, arguing that Kakao's spin-off does not damage shareholder value but cannot by itself lead to a re-rating of the company's value. The judgment is that the substantive results of Kakao's AI business and the realization of value at subsidiaries under Kakao X must come first. The investment rating and target price were left unchanged.

The analysis holds that the most important factor for a Kakao share price recovery is demonstrating substantive results from its AI business. It is essential to show results in the core business and confirm increased time spent on KakaoTalk. Also, if Kakao X, an investment company holding many subsidiaries, is created, how aggressively it pursues shareholder return policies will be a key market concern. Resolving market distrust stemming from past spin-off listings such as Kakao Mobility is also an important task.

Nvidia has taken steps to raise HBM prices by 15%, creating a safeguard that could offset weak operating profit if it falls short. Factors such as robot-related news that can ease earnings volatility also exist. Analysts also argue that big tech companies' moves to find alternatives could in fact present opportunities for Korean chip companies.

Rather than interpreting the share price solely through the obesity drug issue, a more careful approach is required. The potential of a new drug that can deliver diet effects while preserving muscle mass is significant, but additional information and market reaction should be watched.

The first goal is to concretize the schedule after labor-related hurdles are cleared, and the fourth-quarter finalization of supplier selection among value-chain companies and the possibility of full-scale entry into the humanoid robot market are also seen as important factors.

This could bring changes in supply and demand for the equipment and memory sectors, and Nvidia is expected to present a vision of itself as a comprehensive IT company beyond a simple chip maker.

In particular, the upfront share of the total deal value was 8%, above the typical level of around 5%, which the market has viewed positively. It is meaningful that the early-stage deal was valued highly.

The analysis holds that focusing on these two stocks is reasonable.