Samsung Electronics Tops Net Buying; SK Hynix Flips to Net Selling

Samsung Electronics rose to the top of net buying among the top 1% of investors by return in early trading on the 27th, signaling selective buying based on company-specific earnings and supply-chain catalysts rather than a broad semiconductor rally. According to trading data reported by Maeil Business Newspaper Securities, SK Hynix shifted from No. 1 in net buying the previous day to No. 1 in net selling, while buying flowed into Samsung Electro-Mechanics and Korea Circuit. The key takeaway for investors is not the semiconductor industry sector itself, but the rotation of capital toward Samsung Electronics and package substrates.

Why Buying in Samsung Electronics Diverged From Selling in SK Hynix

Net-buying and net-selling rankings indicate the direction of investor capital based on the difference between purchases and sales at a given point in time. In early trading on the 27th, Samsung Electronics climbed from second place in net buying the previous day to first. Over the same period, SK Hynix shifted from first in net buying to first in net selling. With the positions of the two stocks reversing in a single day, this trend cannot readily be interpreted as uniformly bullish sentiment toward the entire semiconductor industry sector.

According to Mirae Asset Securities data, Samsung Electronics was trading at 223,000 won as of 9:30 a.m., up 4.69% from the previous session. The simultaneous rise in its share price and ascent to No. 1 in net buying clearly indicates capital inflows. However, the disclosed data do not provide the exact net purchase value or volume by stock, or the number of investors included in the tally. The ranking alone is insufficient to determine how long the buying strength will persist.

Samsung Electronics Q3 Earnings: Final Results on the 29th Are the Turning Point

Samsung Electronics announced preliminary third-quarter operating profit of 107.4 trillion won, an increase of 782.5% from a year earlier. The figure indicates that the upcoming earnings confirmation is a key factor behind the ranking shift. If the preliminary estimate holds in the final earnings release on the 29th, the earnings basis for the early-session buying will remain intact. Conversely, if the final results diverge from the preliminary figure, the expectations reflected in the net-buying ranking will also need to be reassessed.

The distinction between what has and has not yet been confirmed is clear. Confirmed data include preliminary third-quarter operating profit, the share price on the morning of the 27th, and the trading rankings. The next step is the final earnings release on the 29th. Investors should therefore focus not on revisiting the reasons for the share-price gain already recorded, but on how strongly the final figures support current earnings expectations.

Package-Substrate Buying Spreads to Samsung Electro-Mechanics and Korea Circuit

Samsung Electro-Mechanics ranked second in net buying as of 9:30 a.m., while its shares rose 8.32% to 1,211,000 won. Buying interest in Samsung Electro-Mechanics and Korea Circuit shows that capital was moving beyond finished semiconductor products into package substrates. Package substrates represent one stage of the supply chain connecting artificial intelligence (AI) chips to circuit boards, and the investment case for Samsung Electro-Mechanics depends on whether customer contracts and production-capacity expansion translate into actual business.

Samsung Electro-Mechanics signed long-term contracts to supply AI semiconductor package substrates to Nvidia and Tesla and began expanding its production facilities. Planned financial support totals 3.7 trillion won, comprising 2.6 trillion won from Nvidia and 1.1 trillion won from Tesla. The point at which this development affects earnings is when the contracts lead from capacity expansion to actual supply. Because the duration and value of the supply agreements and the schedule and scale of the expansion were not disclosed, the timing or amount of the revenue contribution cannot be calculated from the available information.

Where the Benefits and Risks Diverge Among Semiconductor Stocks

• Samsung Electronics: It ranked first in net buying in early trading on the 27th while rising 4.69% from the previous session. Final third-quarter earnings on the 29th will be the next point of validation.
• Samsung Electro-Mechanics: In addition to ranking second in net buying and rising 8.32%, its supply contracts with Nvidia and Tesla and planned financial support bolstered the investment case. Disclosure of the contract and capacity-expansion terms is needed to define the path to earnings more precisely.
• Korea Circuit: Alongside Samsung Electro-Mechanics, it attracted buying as a semiconductor-substrate stock. The provided data do not include its individual trading rank or share price, making a comparison of relative strength difficult.
• SK Hynix: It shifted from first in net buying the previous day to first in net selling in early trading on the 27th. With neither the selling value nor volume disclosed, the ranking reversal itself is the extent of what can be concluded from the data.

The Next Figures Investors Should Watch

First are Samsung Electronics’ final third-quarter earnings, due on the 29th. Second are the duration and value of Samsung Electro-Mechanics’ supply agreements and the timetable for expanding production facilities. Third is when and under what terms the combined 3.7 trillion won in financial support from Nvidia and Tesla will be provided. If Samsung Electronics confirms its earnings and Samsung Electro-Mechanics provides further contract details, the current buying trend will have two distinct foundations. Without additional details, however, investors should reserve judgment beyond the early-session rankings and share-price reactions.

In short, capital on the morning of the 27th favored Samsung Electronics’ final earnings and Samsung Electro-Mechanics’ package-substrate contracts, rather than the semiconductor industry sector as a whole. Whether the gains continue will be determined not by net-buying rankings, but by the earnings release on the 29th and the terms of the contracts and capacity expansion.

This article was automatically summarized and analyzed from the original news report. View Original Article (Maeil Business Newspaper Securities)