HSBC Predicts Continued Growth for Samsung Electronics

HSBC stated that rising prices for memory chips could drive Samsung Electronics to achieve record performance. Analysts Ricky Seo and Han Kil Chang expect Samsung Electronics' operating profit in the third quarter to increase by 25% quarter-on-quarter, driven by a 20% rise in sales. Key factors include an anticipated 15% increase in DRAM and NAND chip prices, the launch of new foldable smartphones boosting demand for OLED panels, and a recovery in smartphone profit margins. Analysts noted that, in the context of cloud service providers unlikely to slow down their computing power expansion in the short term, Samsung Electronics' operating profit could rise to 376 trillion won this year, increasing more than eightfold, with a further 37% growth expected next year. HSBC maintains a buy rating and a target price of 450,000 won.