[E-Daily Reporter kyoungeun kim ] On the 8th, IBK Investment & Securities maintained its “Buy” rating on SamsungElectronics(005930), which posted a second-quarter earnings surprise, and raised its target price by 31.4% from 350,000 won to 460,000 won.
Kim Un-ho, an analyst at IBK Investment & Securities, stated in a report, “As the role of memory grows within the AI ecosystem, SamsungElectronics’ position will be further strengthened,” adding, “(SamsungElectronics’ stock price) remains undervalued.”
The target price was calculated by applying a price-to-book ratio (PBR) of 4.0 to the estimated book value per share (BPS) of 114,449 won for 2026.
SamsungElectronics’ second-quarter earnings, driven by the exceptionally strong performance of its semiconductor (DS) division, significantly exceeded market expectations, with preliminary figures showing a 56.2% increase from the first quarter to 89.4 trillion won.
Commenting on this, Analyst Kim stated, “We estimate that performance-related expenses included in the second-quarter results—which incorporate first-quarter performance bonuses—amount to approximately 17 trillion won,” adding, “We estimate that the DS division posted the largest growth compared to the first quarter, driven by significant increases in the average selling prices (ASPs) of DRAM and NAND compared to previous forecasts.”
Kim continued, “We expect SamsungElectronics’ earnings to be led by the DS division,” adding, “Memory performance is expected to continue improving in the second half of the year compared to previous forecasts.” He further noted that, in effect, the DS division’s operating profit is estimated to be on par with the company’s overall operating profit.