Analysis: South Korean Chip Stocks Have Dropped More Than Fundamentals, U.S. Tech Giants' Earnings Report Could Be a Catalyst for Rebound

BlockBeats News, July 20th. Recently, global semiconductor stocks have experienced a sharp decline, with securities analysts pointing out that the price drop has far exceeded the level reflected by the fundamentals.

Lee Jaeman, a researcher at Hana Financial Investment, said, "Even considering the market's concerns about the cyclical nature of the semiconductor industry, the recent plunge in stock prices seems excessive." The researcher noted, "We believe that the catalyst for the rebound in semiconductor company stocks will be the financial reports released by U.S. mega-cap cloud service providers starting in late July." He added, "It is expected that the aggregate capital expenditure growth rate of Alphabet, Microsoft, Meta, and Amazon will increase from 80% in the first quarter of 2026 to 83% in the second quarter and 92% in the third quarter." He also stated, "Given the growth in investment demand, it is also possible for semiconductor companies to maintain a high operating profit margin." (Jinse Finance)