Samsung stock hits record high on positive earnings forecast
[THE INVESTOR] Tech giant Samsung Electronics’ stock hit an all-time high of 2,541,000 won (US$2,232), up 1.88 percent, in early morning trading on July 13, continuing the recent upward move.
The tech firm saw its stocks cross the 2.5-million-won mark for the first time on July 12 on the back of the buying trend of foreign investors, who purchased 82.6 billion won worth Samsung shares on the same day.
In its April-June earnings guidance announced on July 7, the firm anticipated that it earned 60 trillion won revenue with its operating profit reaching 14 trillion won, higher than a previous market consensus of 13.2 trillion won.
The strong second-quarter profits are thought to have been driven by increasing demand for memory chips and the robust sales of smartphones.
Market analysts forecast that the stock’s momentum would continue for the rest of the year thanks to the display and chip businesses.
“Samsung will likely post 62.1 trillion won in revenue and 15.2 trillion won in operating income during the third quarter, riding momentum in the memory and OLED segments,” said Lee Seung-woo, an analyst from Yujin Investment & Securities.
The average target price for Samsung’s stock, set by local investment firms, stands at 2.9 million won.
By Kim Young-won (firstname.lastname@example.org)