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Key Points

Foreign investors have pushed Samsung Electronics' ownership above 50% for the first time since April. The surge follows a Supreme Court ruling clearing Chairman Lee Jae-yong of financial crimes. Meanwhile, SK hynix saw foreign sell-offs after a Goldman Sachs downgrade. Retail investors, however, favored SK hynix over Samsung in July.

Key Points: Foreign Investors Boost Samsung Electronics Stake Above 50 Percent

  • Foreign investors bought $1.34B in Samsung shares this month
  • SK hynix shares dropped after Goldman Sachs downgrade
  • Samsung shares surged 12.2% while SK hynix fell 7.9%
  • Retail investors favored SK hynix over Samsung in July
2 min read

Foreign ownership of Samsung Electronics tops 50 pc again

Foreign ownership in Samsung Electronics rises above 50% as retail investors favor SK hynix amid contrasting market trends.

"Foreigners held a 50.19 percent stake in the chip giant, rising above the mark for the first time since April 24. — Yonhap"

Seoul, July 20

Foreign ownership of Samsung Electronics has climbed back above 50 percent in the South Korean stock market, while retail investors favoured SK hynix this month, the main bourse said on Sunday.

In the first three weeks of this month through Friday, foreign investors bought a net 1.877 trillion won (US$1.34 billion) worth of Samsung Electronics shares, more than double their net buying of 713 billion won for all of last month, according to the Korea Exchange (KRX).

As of Friday, foreigners held a 50.19 percent stake in the chip giant, rising above the mark for the first time since April 24, when their ownership stood at 50 percent, reports Yonhap news agency.

On Thursday, Samsung Electronics shares rallied after the Supreme Court upheld the acquittal of the company's Chairman Lee Jae-yong, affirming lower court rulings that cleared him of financial crimes related to a 2015 merger between Samsung affiliates that consolidated his control over the conglomerate.

However, foreigners offloaded 301 billion won worth of SK hynix stocks in the first three weeks, ending their two-month buying streak in the broader market.

SK hynix shares slumped after Goldman Sachs on Thursday downgraded the chipmaker to neutral from buy, citing a possible decline in high bandwidth memory (HBM) prices next year amid intensifying competition.

On Thursday, Samsung rose 3.09 percent to close at 66,700 won, while SK hynix fell 8.95 percent to 269,500 won.

Affected by foreigners' portfolio adjustments, Samsung shares have gained 12.2 percent so far this month, while SK hynix has dropped 7.9 percent.

Meanwhile, retail investors took the opposite approach, buying a net 1.23 trillion won of SK hynix shares and selling 2.31 trillion won of Samsung shares during the same period, according to the report.

—IANS

- IANS

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Reader Comments

P
Priya S
Samsung phones are everywhere in India, but I never realized foreigners own so much of the company! Makes me think - should we be worried about foreign control over companies whose products we use daily?
A
Aditya G
The chairman's acquittal definitely boosted investor confidence. But as an Indian, I can't help but compare - our business leaders face much harsher scrutiny. Maybe we need to learn from Korea's balanced approach to corporate governance.
S
Sarah B
While the numbers are impressive, I wish Indian companies could attract this kind of foreign investment too. Our IT sector does well, but we need more manufacturing giants like Samsung to emerge from India!
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Karthik V
The retail vs foreign investor divide is fascinating! Indian retail investors also often go against institutional wisdom. Maybe there's some universal psychology at play in stock markets worldwide. 😄
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Nisha Z
Respectfully, the article focuses too much on foreign ownership percentages. What really matters is whether Samsung continues to deliver good products at fair prices for Indian consumers. That's the bottom line for most of us.

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