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KB Securities Predicts 'Double Surprise' for Samsung Electronics in H2
Electronic Technology · Semiconductors · yonhap_finance · 2026-08-26
005930
KB Securities expects Samsung Electronics to undergo a re-rating as a growth-value stock, driven by record earnings and a massive 110 trillion KRW shareholder return plan.
What Happened
Double Surprise Forecast: KB Securities anticipates a 'double surprise' for Samsung Electronics in the second half of the year, characterized by upward earnings revisions and expanded shareholder returns. This shift is expected to transform the company from a cyclical stock into a growth-value asset.
Shareholder Return Scale: Based on an estimated annual operating profit of 380 trillion KRW, approximately 110 trillion KRW is expected to be allocated for shareholder returns. This includes 70 trillion KRW in cash dividends and 40 trillion KRW for share buybacks and cancellations in the second half alone.
Earnings Growth Momentum: Samsung Electronics is projected to post 111 trillion KRW in operating profit for the third quarter, marking four consecutive quarters of record-breaking performance. This robust earnings power provides a solid floor for the stock price.
Investment Appeal: With a forward PER of 3.8x based on 2027 earnings, the stock is currently significantly undervalued. Given its proven ability to generate growth and cash returns even in high-interest environments, Samsung is positioned as a premier long-term investment asset.