Counterpoint: Despite Recent Stock Price Pullback, Semiconductor Fundamentals Remain Strong

BlockBeats News, July 7th, Counterpoint Research Director MS Hwang stated that the recent stock price pullback of memory chip manufacturers does not signify a fundamental shift in the memory chip market. Samsung Electronics fell 6.9% on Tuesday, SK Hynix fell 6.1%, despite Samsung expecting to achieve another record quarter driven by strong demand.

Some investors may think that most of Samsung's upside potential, driven by enhanced profitability expectations, has already been priced in. He said, "Recent labor strikes and political discussions around profit sharing may also raise concerns about future shareholder returns." However, he pointed out that the fundamentals of memory chip manufacturers remain robust.

According to Counterpoint's July memory chip price tracking report, as customers continue to place orders ahead of schedule, third-quarter DRAM prices are expected to rise by 10%-20%, higher than its initial prediction of 5%-10%.