Brokerage : Daishin Securities
Analyst : Hyungkeun Ryu
Investment Rating : BUY (Maintained)
Target Price : KRW 560,000 (Maintained)
Core Momentum : Solid memory earnings resilience confirmed despite large-scale bonus provisions, supported by strong 2027 HBM ASP expansion and the resumption of share buybacks
📊 1. [Valuation & Key Financial Metrics]
- Trading & Valuation Metrics
- Current Price (as of 2026-07-06): KRW 318,800
- 6-Month Target Price: KRW 560,000 (Maintained)
- Investment Rating: BUY (Maintained)
- Market Capitalization: KRW 2,029.62 Trillion (KRW 2,029,620 Billion)
- 2026F PER / PBR / ROE: 7.5x / 2.9x / 52.4%
- 2027F PER / PBR / ROE: 5.3x / 2.0x / 47.2%
- 2028F PER / PBR / ROE: 6.7x / 1.5x / 27.0%
- BPS: 2026F KRW 109,162 / 2027F KRW 161,481 / 2028F KRW 212,390
- Annual Financial Outlook (Consolidated Controlling Interest)
- 2024A: Revenue KRW 300.87T, Operating Profit KRW 32.73T, Net Profit (Controlling) KRW 33.62T (EPS KRW 4,950)
- 2025A: Revenue KRW 333.61T, Operating Profit KRW 43.60T, Net Profit (Controlling) KRW 44.26T (EPS KRW 6,564)
- 2026F: Revenue KRW 744.78T, Operating Profit KRW 387.20T, Net Profit (Controlling) KRW 299.85T (EPS KRW 45,453)
- 2027F: Revenue KRW 976.30T, Operating Profit KRW 562.68T, Net Profit (Controlling) KRW 420.59T (EPS KRW 63,965)
- 2028F: Revenue KRW 1,020.80T, Operating Profit KRW 437.13T, Net Profit (Controlling) KRW 331.98T (EPS KRW 50,489)
🚀 2. [Market Opportunities & Business Outlook]
- 2Q26 Earnings Review (Earnings Resilience Confirmed)
- Posted consolidated operating profit of KRW 89.4 Trillion despite recognizing mid-to-high KRW 10+ Trillion in performance bonus provisions.
- Segment operating profit breakdown: DS KRW 89.6T (Memory KRW 91.9T, Non-Memory KRW -2.3T), DX KRW -1.1T (MX KRW -1.0T, CE/VD KRW -0.1T), SDC KRW 0.6T, and Harman KRW 0.3T.
- Memory division drove earnings through aggressive price increases amidst supply constraints and volume expansion (estimated shipment +10% QoQ), with memory operating profit estimated at KRW 109 Trillion excluding provisions; non-core inventories were strategically reduced.
- Business Segment Outlook & Catalysts
- HBM Pricing Strategy: 2027 HBM ASP is projected to surge by +91% YoY. A balanced pricing strategy leveraging customer partnerships is expected to narrow the profitability gap against competitors via ASP superiority.
- Non-Memory Division: Structurally positioned for a quarterly turnaround within the year excluding bonus provisions. A favorable order environment is opening across ASIC, Automotive, Mobile AP, and CPU segments.
- Set Division (DX): Shifted to an operating loss due to competition and component cost inflation, but efforts to secure new growth engines such as robotics are continuing.
- Shareholder Value & Capital Dynamics
- The anticipated resumption of treasury share buybacks for employee performance compensation is projected to provide downside support for the stock price.
📝 Editor’s Comment (Perspective)
The analyst views Samsung Electronics as a company that has reaffirmed its core memory earnings strength through aggressive pricing and shipment expansion under supply constraints, comfortably absorbing set-division cost pressures and large-scale bonus provisions. This perspective places greater emphasis on pricing leverage in the tight memory supply environment and further profitability improvement potential from rising 2027 HBM ASP rather than short-term cost items.
To evaluate whether this investment thesis unfolds as anticipated, key tracking points include the realization of the projected +91% YoY increase in 2027 HBM ASP, order expansion across ASIC/Automotive/AP in the non-memory business alongside its quarterly profitability trajectory, and the execution of treasury share buybacks for employee compensation. These developments can be verified through upcoming quarterly earnings releases, official company IR presentations, and regulatory filings (DART).
📢 Disclaimer & Source
Source: This content has been structured and newly written based on officially disclosed financial facts and data from brokerage reports.
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