Analysis: Net profit of South Korea's semiconductor industry may reach 101.9 trillion won next year

Odaily reported that Kim Byung-yeon, Director of the Investment Strategy Department at NH Investment & Securities, stated during a roundtable with reporters and brokerage analysts held on July 20 at the Korea Exchange’s Seoul office building that the current Korean stock market has already reflected concerns about the peak in semiconductors, geopolitical uncertainties, and supply-demand disruptions, resulting in an excessive decline.

NH Investment & Securities has set the lower range of the Korea Composite Stock Price Index at 5,800 to 6,250 points, and believes that after a sharp price adjustment, the index is likely to rebound to just above 7,000 to the mid-range, subsequently stabilizing based on the growth rate of cloud revenues and capital spending plans of large US tech companies.

Kim Byung-yeon stated that attention should be paid to the absolute level of semiconductor export amount, rather than the export growth rate. The institution estimates that the net profit of the semiconductor industry will increase from last year’s 21.7 trillion Korean won to 75.9 trillion Korean won this year and 101.9 trillion Korean won next year, with a net profit growth rate of 34% next year.