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Samsung stock is taking a beating, hits a 4-year low
Investors aren't feeling that hot about Samsung Electronics' stock. The share price has been declining rapidly amid concerns about what tariffs that the incoming Trump administration places could mean for the company's earnings.
That, coupled with concerns about some of the business headwinds the conglomerate is facing, is pushing investors to put their money elsewhere. That's why Samsung Electronics share price has now hit its lowest level in four years. Samsung Electronics is the worst-performing global chipmaker stock The company's shares declined to under 51,000 won ($36.24) today for the first time in four years. Year-to-date, the share price is down nearly 37%, meaning that if you bought shares at the start of the year, they'd be worth 37% less now. This is the worst annual performance for the stock in twenty years. There's uncertainty stemming from potential tariffs that the incoming Trump administration might impose. Samsung has reportedly informed Chinese customers of its inability to supply 7nm and below chips in response to US directives, which would hurt the company's bottom lines as it has many customers in China. Investors aren't too keen on the fact that Samsung is struggling to catch up with SK Hynix in the HBM3E segment. Ongoing struggles for its foundry division, which is bleeding cash and having to shut 50% of its production capacity temporarily, are also proving to be a drag on its stock price. The tariff issue has impact stock prices for other Korean chip companies as well. SK Hynix stock is down nearly 8% over the past week, but it's also up nearly 29% for the year, highlighting how its gains in the HBM3E sector have been able to offset the prevailing uncertainty. Meanwhile, it's been one negative indicator after another for Samsung's stock, and things are unlikely to turn around in the near future. Editor's note: Not investment advice. The post Samsung stock is taking a beating, hits a 4-year low appeared first on SamMobile. More... |
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