Samsung shares hit their lowest level in four years: what happened
Kyiv • UNN
Samsung Electronics shares hit their lowest level since June 2020 due to possible Trump tariffs. The company is lagging behind competitors in the production of AI chips, having lost 34% of its share price since the beginning of the year.
On Wednesday, shares of Samsung Electronics, the world's leading memory chipmaker, fell to their lowest level in four years. Analysts attributed this to concerns about the possible impact of US tariffs under the new administration of Donald Trump.
Written by UNN with reference to Reuters.
This year, South Korean tech giant Samsung has been the worst performer among global chipmakers such as TSMC and Nvidia, lagging behind in meeting the growing demand for artificial intelligence chips.
Lee Min-hee, an analyst at BNK Investment & Securities, notes that Donald Trump's possible tariffs on Chinese imports could significantly hit Samsung, which is more dependent on Chinese customers than its local rival SK Hynix.
Instead, Hynix is increasing sales of high-end server chips for artificial intelligence to American customers, including Nvidia.
Since the beginning of the year, Samsung shares have fallen by 34%, which could be the company's worst annual performance in two decades. At the same time, SK Hynix shares are up 32%, and Nvidia is up 199%.
Samsung shares, the most expensive on the South Korean market, continued to fall for the fourth consecutive session, down 2.1% as of 0126 GMT after a previous decline of 2.5% to 51,700 won, the lowest level since June 24, 2020.
The broader KOSPI index fell by 1.5%, while the SK Hynix rose by 2% after two previous sessions of declines.
Recall
Earlier, UNN reported that Samsung Electronics plans to cut up to 30% of its foreign employees in some divisions.
