Storage-themed ETFs Keep Sliding as Samsung and SK hynix Earnings Approach, Won Strength Raises Concerns About Q3 Results

Stock News
8小時前

Storage-focused domestic ETFs continued to decline, according to financial news reports. As of the time of writing, the CSOP SK hynix Daily Leveraged (2x) Product (07709) fell 5.96% to HK$37.56; the CSOP Samsung Electronics Daily Leveraged (2x) Product (07747) dropped 1.72% to HK$78.86; and the CSOP KOSPI (03121) declined 1.47% to HK$6.72.

On the news front, Samsung Electronics and SK hynix are set to release their third-quarter earnings reports soon. Over the past three months, analysts have cut their revenue and profit forecasts for Samsung Electronics by 2.6% and 4.4%, respectively, while reducing their estimates for SK hynix by 5.3% and 5%, mainly due to the contraction in dollar-denominated sales caused by the stronger South Korean won. It is understood that the won appreciated by about 14% against the US dollar cumulatively in the third quarter.

Notably, Mirae Asset Securities of South Korea forecasts that Samsung Electronics' average DRAM selling price will rise 16.5% quarter on quarter in the third quarter, with the gain likely narrowing to 5.4% in the fourth quarter. Market participants said the slower price increase does not mean the industry upcycle is over, but the profit growth logic for companies may gradually change.

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