Samsung Electronics (005930) 🔎 In-depth
KOSPI · Price as of 2026-08-06 · Updated 2026-08-09
Samsung Electronics is a diversified electronics and semiconductor group built around memory chips such as DRAM and NAND flash, together with smartphones and home appliances, foundry (contract chip manufacturing) and displays. In the second quarter of 2026 it set another quarterly record with revenue of ₩171.50 trillion and operating profit of ₩89.49 trillion, bringing first-half totals to ₩305.37 trillion of revenue, ₩146.73 trillion of operating profit and ₩118.85 trillion of net profit. What stands out right now is the tension between two forces: as long as demand for high-bandwidth memory (HBM) in AI servers holds and memory prices keep climbing, a net cash balance sheet and a low multiple on expected earnings provide support; but the shares have already given back 16% over the past month, and because memory is a cyclical business, profits can retrace just as fast if prices roll over.
This page organises public market and filing data for information purposes. It is not a recommendation to buy or sell, nor investment advice. Metrics labelled “forward” are our own unverified estimates. Please verify with the original DART filings and decide at your own responsibility.
30-second brief
Pulled directly from the computed values below — not a separately written opinion.
What do the SourceComputedEstimateReading tags mean?
Source filings and exchange data · Computed calculated from public data · Estimate our own unverified projection · Reading drafted automatically, then rule-checked. See AI & Automation.
Core valuation metric
This stock's effective sub-sector is “Memory Chips” (Semiconductors & IT Components · Semiconductors), a type typically read first through P/B.
Memory chipmakers ride the DRAM and NAND price cycle, so profits balloon in upturns and can swing to losses in downturns. That makes earnings-based multiples unreliable, so price-to-book (P/B) — the share price against the company's asset value — is the first lens.
Price against assets alone says little about where the cycle stands. Reading it together with price against this year's expected earnings shows how far profits have recovered.
This note explains how each sector is typically valued and is educational context only, not investment advice.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt ratio, current ratio and interest burden all look healthy.
- Revenue rose 10.9% year over year, and the pace is slowing (3-year trend: rising).
- Most recent quarter (Q1 2026) revenue was 69.2% higher than a year earlier.
- ROE is 17.6% (controlling-interest basis). It is above the sector average.
- Operating margin is 24.2%.
- A forward P/E of 4.68x puts the price low relative to earnings.
Ownership & governance As of 2022-12-31
Largest shareholder Samsung Life Insurance 8.51% (corporate)
Controlling bloc incl. related parties 20.89%
With the controlling bloc holding 21%, control is maintained but the free float is relatively large.
🔎 In-depth analysis Reading
Samsung Electronics earns money along four main lines. Profits are currently concentrated in memory semiconductors. The company makes DRAM, which reads and writes data quickly, and NAND flash, which retains data once the power is switched off; within that, high-bandwidth memory (HBM) — DRAM stacked in layers and placed next to the processing chip in an AI server — is the key growth product. The second line is the finished-goods (set) business: smartphones, laptops, TVs and home appliances. Third is foundry, manufacturing chips that other companies have designed, and fourth is displays for smartphones and laptops through a subsidiary. In its official planning documents the company presents itself as a 'one-stop' semiconductor supplier covering memory, foundry and advanced packaging, and states the goal of taking the lead in the AI chip era.
The latest close is ₩230,500 and the market capitalization is ₩1,347.6 trillion. The price sits below its 20-day moving average (₩250,300) and below its 60-day moving average (₩293,625). It is under both its short- and medium-term moving averages, so the trend looks subdued. The RSI (a supplementary indicator that gauges the strength of gains versus losses over the past 14 days on a 0-100 scale) is 42.7, a neutral level. The one-month change is -22.1%, the three-month change is -13.4%, and the position relative to the 52-week high is -36.4%. Relative strength versus the KOSPI is 74 (on a 1-99 scale, converted from returns against the index over the past year with more weight on recent performance; higher means stronger than the market). It is stronger than roughly 75% of all stocks. Over the past three months it outpaced the index by 1.0%. Chart interpretation is best done alongside trading volume and the dates on which disclosures occur.
The balance sheet is very solid. On a full-year 2025 basis the debt-to-equity ratio is a low 30.8%, and the current ratio (assets convertible into cash within a year against debts due within a year) is 233%. The company holds ₩32.6 trillion more cash than interest-bearing debt — a net cash position — which gives it the strength to ride out a downturn. Profitability measures, by contrast, still look backward. The 2025 ROE (return on equity, or how much was earned in a year on shareholders' money) was 10.4% and the operating margin 13.1%, but both include the memory slump that ran into the first half of 2025. For a memory company the first yardstick is not past earnings but the multiple on earnings still to come. Factoring in the ₩118.85 trillion of net profit already booked in the first half alone, the 2026 forward P/E (how many times one year's earnings the share price represents) works out at 30.45x, a wide gap from the 31.6x P/E calculated on past earnings. Looking at the debt-inclusive enterprise value measures alongside it, EV/EBITDA (enterprise value against operating profit before depreciation) is 17.9x, EV/EBIT is 37.6x, and the free cash flow yield (the cash the company actually kept, as a percentage of enterprise value) is 1.98%. All three are computed from 2025 results, so as this year's earnings feed through, the multiples fall and the cash yield rises.
Growth has come back sharply. Annual revenue rose from ₩258.9 trillion in 2023 to ₩300.9 trillion in 2024 and ₩333.6 trillion in 2025; in 2025, revenue grew 10.9% and operating profit 33.2% year on year. Stretched over five years, revenue growth averaged a milder 4.5% a year. The real change came in the last two quarters. Q1 2026 set a quarterly record with revenue of ₩133.87 trillion and operating profit of ₩57.23 trillion, and Q2 broke it again at ₩171.50 trillion and ₩89.49 trillion (revenue +28.1% and operating profit +56.4% versus the prior quarter). First-half operating profit of ₩146.73 trillion is more than three times the ₩43.6 trillion earned in all of 2025. Three forces are behind this: HBM demand surged as AI infrastructure spending expanded; contract prices for DRAM and NAND rose steeply; and leading-edge lines moved to what is effectively full utilization. If price and demand conditions hold in the second half, third-quarter profit has room to step up again from the second quarter, although the rate of increase is unlikely to be as steep as in Q2. Building those conditions up quarter by quarter gives a 2026 forward P/E of 4.68x. That is not a mechanical figure obtained by multiplying one quarter by four; it layers second-half price, demand and capacity assumptions on top of first-half results that are already confirmed.
Recent developments fall into three groups: results, shareholder returns and long-term investment plans. On July 30 the company re-filed its second-quarter results, finalizing revenue at ₩171.50 trillion and operating profit at ₩89.49 trillion — slightly above the initial July 7 figures of ₩171.00 trillion and ₩89.40 trillion — and also disclosed net profit of ₩71.62 trillion. The same day it approved a quarterly dividend of ₩374 per share, ₩2.4559 trillion in total (record date June 30, payment scheduled for August 28). On shareholder returns, a 'corporate value-up plan' announced in March committed to spending more than ₩110 trillion on facilities and R&D in 2026 and, within 50% of free cash flow over three years, to returning any funds left over after the regular dividend. On April 2 the company cancelled 73.35 million common shares and 13.60 million preferred shares, cutting shares outstanding to 5,846,278,608. On June 29 it filed a long-term vision to invest roughly ₩2,450 trillion domestically between 2026 and 2040 (about ₩2,100 trillion of that in semiconductors), including HBM plants in Cheonan and Onyang, the Gwangju cluster and a robotics line in Gumi. Separately, on July 23 the company addressed press coverage of a '₩90 trillion treasury share purchase,' saying it is reviewing treasury share acquisitions for performance-compensation purposes but that neither the size nor the schedule has been decided, and that it would provide a further update by October 22.
The supporting points are clear. Operating profit of ₩146.73 trillion locked in during the first half is an earnings base hard to compare with any prior year. Net cash of ₩32.6 trillion and a 30.8% debt-to-equity ratio give the company room to absorb a downturn. On valuation, measured against earnings still to come, the 2026 forward P/E of 4.68x is below the 8.6x forward P/E of SK Hynix, which rides the same memory cycle. The 31.6x P/E based on past earnings is simply the lag left by weakness that persisted into the first half of 2025. The cautions deserve equal weight. Memory is heavily exposed to the price cycle, so if contract prices stop rising, profits unwind quickly. Second-half earnings hinge on how much further prices climb, with Chinese capacity additions, exchange rates, rising depreciation and cost pressure in the mobile division all in play. The plan to spend more than ₩110 trillion in 2026, and on the order of ₩2,100 trillion on semiconductors through 2040, is both a source of competitiveness and a heavy spending commitment. Profitability in foundry and the set businesses has not kept pace with memory, which has held down the group average. The 16% pullback in the share price over the past month shows a market divided over how long this cycle can last. How far profits can ultimately rise is a question only future memory prices can answer.
🔎 Valuation vs peers Undervalued
Among Korean listed companies, SK Hynix is effectively the only direct comparison that produces DRAM and NAND at scale; Samsung Electro-Mechanics (components and substrates) and LG Electronics (appliances and automotive electronics) sit in the same electronics value chain with different business mixes and are placed alongside it for reference.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| SK Hynix | 24.83x | 6.65x | 45.75% |
| Samsung Electro-Mechanics | 130.00x | 9.35x | 8.33% |
| LG Electronics | 29.71x | 1.12x | 4.26% |
On the P/E ratio alone — how many times one year's earnings the share price represents — 31.6x looks high. But that figure rests on 2025 earnings, which include the memory slump, so it does not capture a company that has just produced ₩146.73 trillion of operating profit in the first half alone. Measured against earnings still to come, the 2026 forward P/E is 4.68x. Set against the 8.6x forward P/E of SK Hynix, which rides the same memory cycle, that is roughly half the level. On an asset basis too, the forward P/B of 2.08x is below SK Hynix's 2.76x. Profitability, however, favors SK Hynix: a 2025 ROE of 35.6% and an operating margin of 48.6% reflect a mix weighted more heavily toward memory, whereas Samsung Electronics' set and display operations dilute its average profitability. Even allowing for that difference, a twofold gap in earnings multiples calls for explanation. It appears to reflect a profitability recovery in foundry that has yet to be confirmed, cost pressure in the set business, and growth rates that look relatively low simply because the base is so large. Samsung Electro-Mechanics (P/E 124.9x) and LG Electronics (P/E 26.9x) are not direct comparisons given their different business mixes, but they show that even within the electronics value chain Samsung Electronics' multiple on future earnings stands out as low. Taken together, the high multiple on past earnings is a timing effect from a cycle trough now passed, and on future earnings the shares sit below comparable companies, which places them in undervalued territory. That assessment rests on this year's earnings coming through as estimated, so it weakens if memory prices roll over in the second half.
Price history Close · MA20 · MA60
The latest close is ₩230,500 and the market capitalization is ₩1,347.6 trillion. The price sits below its 20-day moving average (₩250,300) and below its 60-day moving average (₩293,625). It is under both its short- and medium-term moving averages, so the trend looks subdued. The RSI (a supplementary indicator that gauges the strength of gains versus losses over the past 14 days on a 0-100 scale) is 42.7, a neutral level. The one-month change is -22.1%, the three-month change is -13.4%, and the position relative to the 52-week high is -36.4%. Relative strength versus the KOSPI is 74 (on a 1-99 scale, converted from returns against the index over the past year with more weight on recent performance; higher means stronger than the market). It is stronger than roughly 75% of all stocks. Over the past three months it outpaced the index by 1.0%. Chart interpretation is best done alongside trading volume and the dates on which disclosures occur.
Relative performance stock vs index · start = 100
Excess return vs index · 3M +0.99% / 6M +20.48% / 12M +64.11%
Key metrics Computed vs whole-market median
Valuation
The P/E of 30.45x is above the whole-market median (12.97x). The P/B of 2.84x is above the whole-market median (0.84x). That said, this P/E is based on last year's (trailing) results. With recent quarterly earnings up sharply, the trailing P/E can look higher than it really is, so a precise read is best done on this year's expected (forward) earnings.
Enterprise value (EV)
EV = market cap + net debt. It reflects cash and debt, so it captures the real cost of the whole business that market cap alone misses; lower multiples are cheaper relative to earnings or sales.
Intrinsic value (DCF estimate) Estimate
Model output — not a price target. This is what the formula returns under the assumptions below, not a view on where the share price should go.
DCF (discounted cash flow) estimate — discount rate 11.0%, initial growth 10.0%→terminal 2.0%, 10-yr forecast, free-cash-flow basis, forward earnings power normalized 3x. A reference range that shifts materially with assumptions.
Profitability & financials
Return on equity (ROE) is 17.6%, above the whole-market average (3.0%). The operating margin is 24.2%. The debt ratio is 30.9%, so the financial structure is stable.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $181.9B | $211.4B | $234.4B | +10.88% ↓ slower |
| Operating profit | $4.6B | $23.0B | $30.6B | +33.23% ↓ slower |
| Net profit | $10.2B | $23.6B | $31.1B | +31.65% ↓ slower |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $196.4B | $212.3B | $181.9B | $211.4B | $234.4B |
| Operating profit | $36.3B | $30.5B | $4.6B | $23.0B | $30.6B |
| Net profit | $27.6B | $38.4B | $10.2B | $23.6B | $31.1B |
| Revenue CAGR | 4-yr avg 4.51% | ||||
Revenue rose 10.9% year over year (2023 ₩258.9 trillion → 2024 ₩300.9 trillion → 2025 ₩333.6 trillion), and the three-year trend is 'rising'. That said, the pace of growth slowed from the prior year. Operating profit rose 33.2% year over year. The pace of that profit growth is gradually easing. Over the 5 years on record, revenue compound annual growth (CAGR) is 4.5%. The two-year revenue CAGR is 13.5%. In the most recent quarter (Q1 2026), revenue was 69.2% higher than the same period a year earlier.
Latest quarterly results Source Q1 2026 · vs year-ago
Technical indicators Computed
What stands out
- P/E and P/B are both low versus peers, so the price looks inexpensive relative to earnings and assets.
- ROE of 17.6% points to solid profitability.
- Revenue grew 10.9% year over year, a sign of growth.
- The balance sheet is stable in terms of debt and liquidity.
Points to watch
- The figures shown are based on the last annual report as of the writing date, so it is best to review the latest quarterly results and filings alongside them.
Recent news & events searched · sourced
- 2026-07-30EarningsFair disclosure of preliminary consolidated Q2 2026 results — revenue ₩171.50 trillion (+28.1% versus the prior quarter), operating profit ₩89.49 trillion (+56.4%), net profit ₩71.62 trillion. First-half totals: revenue ₩305.37 trillion, operating profit ₩146.73 trillion, net profit ₩118.85 trillionFinalized slightly above the first release on July 7 (revenue ₩171.00 trillion, operating profit ₩89.40 trillion). First-half operating profit alone is more than three times the ₩43.6 trillion earned in all of 2025, confirming that AI and HBM demand together with rising memory prices are feeding through to earnings. The figures carry the caveat that they are preliminary, ahead of completion of the external audit. Source
- 2026-07-30DividendQuarterly cash dividend approved — ₩374 per share on both common and preferred stock, ₩2.4559 trillion in total (record date 2026-06-30, payment scheduled 2026-08-28)Confirms that quarterly dividends are continuing on a regular schedule. The 2025 payout ratio was 25.1%, and as profits grow, the capacity for shareholder returns grows with them. Source
- 2026-07-23UpdateClarification of a market rumor and press reports (undecided) — in response to coverage of a '₩90 trillion treasury share purchase spread over three years,' the company disclosed that it is reviewing treasury share acquisitions for performance-compensation purposes but has settled neither size nor timing (further disclosure scheduled 2026-10-22)Officially confirms that a large treasury share purchase is under review rather than settled fact. As of July the company held about 81 million common shares in treasury (1.4%), so the gap between expectation and reality is worth keeping in mind. Source
- 2026-06-29FilingFair disclosure of future business and management plans — a domestic investment vision of roughly ₩2,450 trillion for 2026-2040 (about ₩2,100 trillion in semiconductors), with ₩1,650 trillion for Yongin and existing semiconductor campuses and ₩400 trillion for Gwangju, including HBM plants at Cheonan and Onyang and a robotics line in GumiFormalizes a long-term roadmap for expanding HBM and leading-edge chip capacity. It cuts both ways: grounds for stronger competitiveness, and at the same time a large capital spending burden spread over many years. The company itself noted that the plan is a guideline based on market conditions and may change. Source
- 2026-03-31FilingShare cancellation approved — 73,359,314 common shares and 13,603,461 preferred shares to be cancelled (scheduled cancellation date 2026-04-02, book value ₩5.3455 trillion)A direct return of capital that retires previously acquired treasury stock and shrinks the tradable share count. It lifts per-share value without reducing paid-in capital, and after the cancellation common shares outstanding stand at 5,846,278,608. Source
- 2026-03-19FilingCorporate value-up plan (voluntary disclosure) — more than ₩110 trillion to be spent on facilities and R&D in 2026, with shareholder returns within 50% of free cash flow over three years (additional returns if funds remain after the ₩9.8 trillion regular dividend in 2026)A medium- to long-term plan that puts investment and shareholder returns in a single document. It also sets out the goal of leading the AI era as a 'one-stop' semiconductor company spanning memory, foundry and advanced packaging. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| Q2 2026 results and first-half cumulative totals | 2 revenue 171.50·operating profit 89.49·net profit 71.62 / revenue 305.37·operating profit 146.73·net profit 118.85 | revenue ₩171.50 trillion· ₩305.37 trillion, operating profit ₩89.49 trillion· ₩146.73 trillion, net profit ₩71.62 trillion· ₩118.85 trillion | Confirmed | link |
| Q1 2026 revenue, operating profit and net profit | revenue 133.87 / operating profit 57.23 / net profit 47.23 | revenue ₩133.87 trillion·operating profit ₩57.23 trillion·net profit ₩47.23 trillion | Confirmed | link |
| Shares outstanding (common stock) | 5,846,278,608(base price.shares) | 5,919,637,922 − 73,359,314 = 5,846,278,608 | Confirmed | link |
| Net cash position (net debt and the debt-to-equity ratio) | −₩32.6 trillion, 30.8%, 233% | 2025 | Confirmed | link |
| 2026 forward P/E (the first metric to check in the memory sector) | 4.2x(self-estimate) | — | Unverified | link |
Recent filings Source
- 2026-06-08OwnershipLargest-shareholder ownership change report
- 2026-06-08OwnershipOfficers'/major-shareholders' holdings report
- 2026-06-05OwnershipOfficers'/major-shareholders' holdings report
- 2026-06-05OwnershipOfficers'/major-shareholders' holdings report
- 2026-06-05OwnershipOfficers'/major-shareholders' holdings report
- 2026-06-04OwnershipOfficers'/major-shareholders' holdings report
- 2026-06-02OwnershipOfficers'/major-shareholders' holdings report (amended)
- 2026-06-02OwnershipOfficers'/major-shareholders' holdings report
- 2026-06-01Large-business-group status disclosure
- 2026-06-01Corporate governance report
- 2026-06-01Large-business-group status disclosure
- 2026-06-01OwnershipOfficers'/major-shareholders' holdings report
📖 Plain-language glossary — expand if you are new to this
- P/E
- How many times a year's net profit the price is worth (lower is cheaper relative to earnings). The P/E here is on trailing (last full-year) results; for companies whose earnings swing fast (memory chips and other cyclicals/high-growth), a forward P/E on this year's expected earnings is more accurate.
- P/B
- Price relative to net assets (equity). Around 1x means it trades near book value; below 1x means below book.
- P/S
- Price relative to a year's revenue — useful for growth companies with thin earnings.
- Net debt / EV
- Net debt = interest-bearing debt − cash. Negative means more cash than debt (net cash). EV (enterprise value) = market cap + net debt, closer to what it would cost to buy the whole business.
- EV/EBIT · EV/EBITDA · EV/Sales
- Enterprise value against operating profit (EBIT), EBITDA, or revenue. Unlike P/E these reflect debt and cash; lower is cheaper relative to earnings power or sales.
- FCF / FCF yield
- Free cash flow = operating cash − capex, the cash actually left over. FCF yield = FCF ÷ market cap; higher means more cash generated per unit of market value.
- Intrinsic value (DCF)
- Future free cash flow (or, for some capex-heavy but profitable names, forecast earnings) discounted to today to estimate per-share value. Because it shifts a lot with the discount-rate and growth assumptions, it is shown as a bear/base/bull range, and the basis and assumptions are disclosed in one line beneath it.
- ROE
- How much profit the company earns in a year on its equity (%). Higher means better returns on capital.
- EPS / BPS
- Earnings per share / net assets (book value) per share.
- Operating / net margin
- Profit left from the core business / final profit after tax and interest, per unit of revenue.
- Debt ratio
- Debt relative to equity (%). Higher means more reliance on borrowing (norms vary by sector).
- Current ratio
- Assets convertible to cash within a year against debt due within a year. Above 100% leaves some short-term headroom.
- Interest coverage
- How many times operating profit covers the interest owed. Below 1x means operating profit alone struggles to cover interest.
- Dividend yield / payout ratio
- The year's dividend as a % of today's price / the share of earnings paid out as dividends.
- Revenue CAGR
- Multi-year growth expressed as a single yearly average (compound annual growth rate).
- RSI (short-term signal)
- Whether recent price action is overheated or beaten down. Above 70 is overbought, below 30 oversold.
- MA20 / MA60 (moving averages)
- The 20- and 60-day average price. Price above them signals a firmer short-term trend.
- vs 52-week high
- How far below the past year's peak the price sits now (%).
All figures are for reference only; how they read varies by sector and over time.
Sources: Korea FSC market-price API (data.go.kr), OpenDART, KRX/KIND — public data only.
Bong Stocks presents public-data-based information for reference only. It is not investment advice and contains no target prices, ratings, or buy/sell recommendations. Verify independently before making any decision.