Samsung to benefit from upcoming Supercycle in memory chips
NH Investment & Securities Co. equity trader Shawn Oh said, “Samsung’s discount is resolving when it comes to supplying Nvidia with high-bandwidth memory and ongoing large-scale investments in AI. It is said that Nvidia and Samsung are in the final stages of negotiating supply volumes, prices, and schedules.” Samsung is also set to benefit from an expected Supercycle in the market for memory chips including DRAM and NAND chips. Shortages of such components are supposed to lead to higher prices.
Investment house Morgan Stanley raised its target on Samsung by 14% to 111,000 won ($77.65 USD). Samsung would have to move 17.7% higher from its current price to hit Morgan Stanley’s higher target price. Analysts at the firm hiked their target due to an expected fourth quarter rise in memory chip prices. Demand for these chips is also supposed to continue into 2026 leaving Morgan Stanley analysts to call for a much higher upside for the stock from here.
South Korea has been one of the best performing regions for stock market performance this year. Last month, Samsung’s shares experienced its best September since 2020. The shares of Sammy’s rival SK Hynix are up 146% in 2025 and the benchmark Kospi index is up 50%.
One U.S. based analyst calls this Samsung’s AI moment
Haris Khurshid, chief investment officer at Chicago-based Karobaar Capital LP, said, “Samsung’s finally having its AI moment. What’s interesting is this rally isn’t just about chips, it’s about belief because investors have decided Samsung’s not missing this wave like it did early on and now seems like everyone’s racing to reprice the gap.”
Samsung’s shares run into profit taking on Monday in Seoul
Samsung’s shares have run into some profit taking on Monday morning in South Korea as the shares are down 2,800 won ($1.96 USD) or 2.97% to 91,600 ($64.15 USD). What is interesting is that the last time Samsung’s shares hit an all-time record high in 2021, the shares were driven higher by retail investors who pushed the stock higher during the pandemic thanks to their constant buying. This time around, Samsung’s shares hitting an all-time record high was the result of steady purchases of the stock by foreign investors, possibly funds jumping on the momentum of AI stocks including Nvidia.
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