Samsung, SK Hynix Climb Toward Prior Highs as Focus Shifts to Earnings

Hopes Grow for Effective End to US-Iran War

Investor Focus Shifts From Macro Risks to Earnings

Brokerages Favor Higher Weightings in Memory Chipmakers

Price Targets Reach 610,000 Won for Samsung and 4 Million Won for SK Hynix

Samsung Electronics Co. and SK Hynix Inc., South Korea’s leading chip stocks, are running back toward their previous highs. As geopolitical risks stemming from the Middle East ease, investor focus is shifting from macro concerns to corporate earnings, drawing buying into the two companies that have led profit growth in the stock market.

According to Korea Exchange data, Samsung Electronics rose 4.5% to close the regular session at 337,000 won on June 15. SK Hynix gained 6.42% to 2.288 million won. During the session, the two stocks jumped more than 6% and 8%, respectively, retaking the 340,000 won and 2.3 million won levels.

As expectations build that the war between the US and Iran has effectively ended after 106 days, market attention is moving back from macroeconomic issues to fundamentals. That is boosting expectations for Samsung Electronics and SK Hynix, which have been posting steep earnings growth amid an artificial intelligence-driven semiconductor supercycle.

Aggressive capital spending by big tech companies on AI infrastructure, along with a chip supply shortage, has kept memory prices climbing. Semiconductor exports for June 1-10 hit a record high, and the won-dollar exchange rate rose above 1,500 won per dollar. The securities industry expects those factors to help deliver second-quarter earnings surprises.

According to financial data provider FnGuide, brokerages estimate second-quarter operating profit at 8.67702 trillion won for Samsung Electronics and 6.24599 trillion won for SK Hynix. That would represent increases of 1,755.61% and 577.96%, respectively, from a year earlier.

Kim Rok-ho, an analyst at Hana Securities, said operating profit estimates for Samsung Electronics are likely to continue moving higher until the company releases preliminary earnings early next month. He recommended investors keep increasing exposure to memory chipmakers, saying there is still room for further upward revisions to earnings.

Domestic and foreign brokerages have also been raising their target prices for Samsung Electronics and SK Hynix. Among overseas firms, Japanese investment bank Nomura recently set targets of 590,000 won for Samsung Electronics and 5 million won for SK Hynix.

Joung Chang-won, co-head of Asia research at Nomura, said at the June 12 "2026 Korea Economy and Stock Market Media Briefing" that monthly memory-chip revenue this year is showing a vertical rise unlike anything seen before. He added that the current semiconductor supercycle is still only in its early stages.

In South Korea, SK Securities set target prices of 610,000 won for Samsung Electronics and 4 million won for SK Hynix. Han Dong-hee, an analyst at SK Securities, said structural strength in the industry is likely to persist, citing improved demand visibility through long-term supply agreements, the dual-market effect and strong price increases next year for high-bandwidth memory.

Ko Jeong-sam, Hankyung.com reporter, jsk@hankyung.com