Samsung Electronics and SK Hynix have both risen over 8% due to strong performance in U.S. tech stocks and SK Hynix's announcement of a large-scale shareholder return plan.
According to the Korea Exchange, as of 10:50 a.m. on October 28, Samsung Electronics was trading at 241,000 won, up 19,000 won (8.56%) from the previous trading day. SK Hynix also saw an increase of 116,000 won (8.65%), reaching 1,457,000 won.
In the U.S. stock market overnight, the Nasdaq Composite Index rose by 1.18%, contributing to a buying spree in domestic semiconductor stocks. News of AI company Anthropic's initial public offering (IPO) and Broadcom's significant AI semiconductor contract have positively influenced investor sentiment in tech stocks.
SK Hynix's announcement of a substantial shareholder return plan has further bolstered investor confidence. The company’s board of directors decided to acquire 20 trillion won worth of new treasury shares, with 10 trillion won earmarked for shareholder returns to be fully canceled, while the remaining 10 trillion won will be used for employee compensation.
The company expects its total shareholder return for the fiscal year to reach approximately 100 trillion won, which includes over 30 trillion won in cash dividends and more than 60 trillion won in treasury stock acquisitions and cancellations. This figure also accounts for the previously announced 40 trillion won in treasury stock buybacks and cancellations completed on October 21.
SK Hynix also reported record quarterly earnings, with its consolidated operating profit for the third quarter of this year reaching 83.33 trillion won, a 632.1% increase compared to the same period last year. Revenue surged to 104.62 trillion won, up 327.9%, exceeding market expectations of 76.26 trillion won by 9.3%.
Samsung Electronics is also experiencing gains amid expectations of improved semiconductor market conditions due to the expansion of AI infrastructure. The company is set to release detailed third-quarter results on October 29.
* This article has been translated by AI.
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