005930.KS - Samsung Electronics Co., Ltd.

KSE - KSE Delayed Price. Currency in KRW
48,700.00
+1,700.00 (+3.62%)
At close: 3:30PM KST
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Previous Close47,000.00
Open47,500.00
Bid48,550.00 x 0
Ask48,600.00 x 0
Day's Range47,250.00 - 48,800.00
52 Week Range40,850.00 - 62,800.00
Volume23,033,035
Avg. Volume17,453,310
Market Cap323.985T
Beta (5Y Monthly)0.95
PE Ratio (TTM)N/A
EPS (TTM)N/A
Earnings DateApr 28, 2020 - May 05, 2020
Forward Dividend & Yield1,416.00 (3.01%)
Ex-Dividend DateDec 27, 2019
1y Target Est54,903.00
  • Samsung's solid chip sales unlikely to help profits
    Reuters Videos

    Samsung's solid chip sales unlikely to help profits

    The global shift to working from home is boosting demand for Samsung's memory chips as laptop makers and data centers snap them up. But in guidance set to release Tuesday (April 7), the South Korean tech giant's first-quarter profits are still likely to remain flat. That's because sales of the company's smartphones and other consumer electronics are falling, and analysts tell Reuters that longer-term, the bump in chip sales could be at risk, too. The shutdown of factories and retail stores worldwide is hitting the company on two fronts and unnerving investors. Samsung's shares have slumped 15% so far this year but outperformed the wider market's fall of 22%. Prospects for the company's flagship Galaxy S20 premium smartphones, launched just over a month ago, are looking dim. An official at a local carrier in South Korea told Reuters the 5G enabled phones are already selling at a third of their launch price. One brokerage - Hanwha Investment & Securities - estimates Samsung's smartphone sales in the first quarter fell 17% from just a year ago. Last year Samsung's full-year earnings were halved by their smartphone and chip businesses' slump in profits. Smartphone rival Apple has also rolled back its profit forecast over production and retail shutdowns in China.

  • Samsung Will Offer Clues on How Covid-19 Is Roiling Global Tech
    Bloomberg

    Samsung Will Offer Clues on How Covid-19 Is Roiling Global Tech

    (Bloomberg) -- When Samsung Electronics Co. brass addressed analysts during its last earnings call, much of the talk revolved around finally turning the corner after years in the doldrums. That was in January, before Covid-19 threw the global economy into a tailspin.Now, executives are struggling to assess the damage. In the short term, Samsung’s most profitable business is riding a surge in online activity from the millions confined to home, driving demand for the memory chips that help power datacenters and cloud services. But should the pandemic persist into the second half -- a worst-case scenario -- the tech giant foresees missing its own 2020 revenue projections by a double-digit percentage, according to people familiar with internal discussions.Samsung unveils preliminary earnings Tuesday, becoming one of the first major technology corporations to paint a picture of how the pandemic impacted the global tech industry in 2020’s first three months. As the world’s largest maker of memory chips, phones, displays and appliances, the Korean giant is exposed to the economic shocks of Covid-19 like few other tech corporations. The novel coronavirus has already forced Korea’s largest company to shut plants from Gumi at home to India, costing Samsung days of lost production. While it’s expected to post first-quarter revenue growth, the question is whether the initial surge in semiconductor demand can offset a hit from what could be the worst global economic shock in at least a generation.“We are truly in uncharted waters as the tech industry in general has continued to grow, perhaps at varying rates, but we haven’t seen a broad-based, global downturn such as we may be in line for,” said Robert Maire, president of Semiconductor Advisors in New York. Chip demand in particular “will likely not be as robust as it could have been as demand for devices that contain semiconductors, such as smartphones, TVs and consumer electronics, will be reduced through negative economic impact.”Foremost among the divisions under scrutiny is the semiconductor unit, which accounts for more than half of operating profits at Samsung. It’s been pounding out memory chips -- the lubricant of the tech industry -- round the clock, essential in datacenters hosting everything from video conferences to e-commerce. But executives and investors worry that prolonged Covid-19 lockdowns may crimp final demand for smartphones and other electronics -- and ultimately deal a serious blow to the chip industry’s nascent recovery.Read more: Apple Tells Staff U.S. Stores to Remain Closed Until Early MaySamsung’s shares have dived more than 20% since their January 2020 peak, depressed by a series of analysts’ price-target cuts. Much of the hit could come this quarter since Covid-19 escalated globally in March. Revenue growth is likely to fall off steeply, according to Eugene Investment & Securities, which projects a 12.3% decline in the June quarter from a forecast for a mere 0.1% increase in the January to March period.Among the analysts that cut price targets was Hana Financial Investment, which also slashed its projection for Samsung’s 2020 smartphone sales from 300 million units to 260 million. It expects OLED panel shipments to plunge 12% to 373 million this year. Now that the Euro 2020 soccer tournament and Tokyo Olympics have been postponed, TrendForce also lowered its forecast for Samsung TV shipments by 5.8% to 205.2 million units, warning that could slip further as the situation worsens in North America and Asia.“The current financial crisis that accompanies the pandemic has produced a lot of uncertainties and could surpass the Financial Crisis of 2007-2008 in scale,” TrendForce said on March 30. “Hence, the general economic outlook for 2H20 could become even gloomier as the pandemic is not expected to be brought under control in the short term.”Read more: Micron Gives Strong Outlook Lifted By Data-Center DemandThat’s a far cry from just a month ago, when Samsung told shareholders the memory market will stabilize this year thanks to upgrades in manufacturing processes, datacenter expansions and the rollout of fifth-generation or 5G wireless networks. Having learned its lesson from previous industry slumps, Samsung was confident it could maintain a balance between supply and demand for memory chips, the people said, asking not to be identified talking about internal deliberations. Their prime concern was avoiding a repeat of the oversupply that triggered a chip price crash in 2019, they said.The industry is still toting up the impact of the pandemic. In a positive scenario, analysts expect pent-up demand for smartphones and sustained use of online learning and work-from-home gear like laptops to engender a soft-landing for Samsung later this year. Just a week ago, Qualcomm Inc. and Western Digital Corp. said they were seeing a recovery in demand from Chinese consumers for phones and computer disk drives. And Micron Technology Inc. has predicted stronger-than-expected revenue.What Bloomberg Intelligence SaysMemory chips are likely in tight supply due to disruptions in obtaining certain raw materials and equipment on the Covid-19 outbreak. This may bolster DRAM and NAND sentiment following rising contract prices in March, supported by rising remote work access needs, despite an extended smartphone shipment slump to 2Q.\- Anthea Lai and Anand SrinivasanClick here for the research.It may well be that the disease will encourage shifts in consumer activity that benefit the industry in the long run, said C.J. Muse, senior managing director at Everscore ISI in New York.“The world is changing,” said Muse. “There is clearly something that, over the long term in this kind of virus world, should be positive, given how our lives are evolving and how important the cloud is to a lot of what we do now and even more than ever.”Read more: ‘Nightmare’ for Global Tech: Virus Fallout Is Just Beginning(Updates with BI’s comment in third paragraph from bottom)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Retail Investors Pump Money Into Korean Stocks Like Never Before
    Bloomberg

    Retail Investors Pump Money Into Korean Stocks Like Never Before

    (Bloomberg) -- While the pros are shunning Korean stocks, the nation’s mom-and-pops are diving right in.The benchmark Kospi index has rebounded almost 20% from a low in March, even as foreign and local funds kept fleeing the market, offloading some 24 trillion won ($19.5 billion) net of the gauge’s shares this year. That’s because retail investors -- known as “patriotic ants” for their herd behavior that’s propping up the market -- have been buying at a record pace. They’ve added 22 trillion won net of the equities, including the biggest quarterly additions since Bloomberg began compiling the data in 1997.Known for their appetite for products ranging from complex structured notes to risky hedge funds, Korea’s individual traders usually favor short-term, speculative bets and account for nearly 60% of Kospi volume, according to NH Investment & Securities Co. The recent Bank of Korea rate cut is now also drawing wealthy investors with a long-term view to the nation’s $1 trillion stock market, Samsung Securities Co. said.“Most retail investors were speculative traders, but recently I saw many wealthy people coming to the stock market,” said You Seung-Min, chief strategist at Samsung Securities. “Bank of Korea’s 50 basis-point cut seems to have shocked them. The government’s stronger regulations on real estate are pushing them to seek a return from stocks.”Their favorite pick has been Samsung Electronics Co., the nation’s biggest stock, followed by peer SK Hynix Inc. Both have tumbled 16% this year. On Naver Corp., the nation’s biggest portal website, at least 80 community posts read, “Do you think it’s the right time to buy Samsung Electronics?” or “Samsung will never fail, it’s like a bond.”“Samsung’s stock is probably a good investment for retail investors, as it is planning to offer about a 3% dividend yield for this year, higher than the interest rate in Korea,” said Chung Chang-won, an analyst at Nomura Financial Investment (Korea) Co. who noted it has become easier to invest in the shares since a split in 2018.Korean regulators said in a Thursday statement that retail investors should refrain from “reckless buying” of the nation’s equities, especially with borrowed money. Leveraged investments in the market hit 10.5 trillion won on Feb. 25, the highest since June 2019, according to the latest data from the Korea Financial Investment Association.“There is at least 1,000 trillion won of floating money in Korea,” Chung said. “They really have nowhere to invest.”(Corrects Nomura entity in story published April 3)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Solid chip sales unlikely to cushion Samsung's virus-hit first-quarter profit
    Reuters

    Solid chip sales unlikely to cushion Samsung's virus-hit first-quarter profit

    The coronavirus-driven global shift to working from home is set to have boosted demand for Samsung Electronics' memory chips from laptop makers and data centres, but first-quarter profits are likely to remain flat as the outbreak weakened consumer electronics sales. The South Korean tech giant is the world's largest memory chip maker, and its Galaxy smartphones are a major rival of Apple Inc's products. Samsung, which also makes home appliances and displays, on Tuesday releases guidance for the January-March quarter profit which is widely expected to be unchanged, and come under pressure in the next few quarters as the impact of coronavirus-related factory and retail stores shutdowns bites.

  • Solid chip sales unlikely to cushion Samsung's virus-hit first quarter profit
    Reuters

    Solid chip sales unlikely to cushion Samsung's virus-hit first quarter profit

    The coronavirus-driven global shift to working from home is set to have boosted demand for Samsung Electronics' memory chips from laptop makers and data centres, but first-quarter profits are likely to remain flat as the outbreak weakened consumer electronics sales. The South Korean tech giant is the world's largest memory chip maker, and its Galaxy smartphones are a major rival of Apple Inc's products. Samsung, which also makes home appliances and displays, on Tuesday releases guidance for the January-March quarter profit which is widely expected to be unchanged, and come under pressure in the next few quarters as the impact of coronavirus-related factory and retail stores shutdowns bites.

  • Reuters

    RPT-Coronavirus threatens to knock S.Korea off 5G leadership perch

    South Korea is struggling to retain its lead in global next-generation 5G telecom services, as the coronavirus pandemic further cools sentiment of consumers whose interest in the technology has waned due to cost and quality concerns. The Asian nation's telecom operators, led by SK Telecom and KT Corp, launched the world's first 5G services exactly a year ago. Sales of Samsung's new 5G-ready Galaxy S20 phones, which were launched at the end of February with prices as high as 1,595,000 won ($1,308.81), are down about 30% in South Korea compared with early sales of its previous model S10 series, an official at a South Korean operator told Reuters.

  • GuruFocus.com

    BlackBerry Has Yet to Turn a Corner Despite Earnings Beat

    The stock is down more than 19% Continue reading...

  • Bloomberg

    Cash and Credit Cards Are Dirty. Apple Pay Is Looking Better.

    (Bloomberg Opinion) -- Cash is dirty. Credit cards may be even dirtier. That’s a problem in this new germophobic world created by the coronavirus. There will likely be new winners and losers as consumers shift to products and services that help them keep their social distance even after this outbreak subsides. Is it finally time to embrace the digital wallet?Take Apple Inc.’s Apple Pay, a service that stores your credit-card information and lets you pay for purchases via your iPhone. The tech giant launched the product six years ago, but it didn’t bring about the revolution it hoped it would, where mobile payments lead the move toward a cashless society as it had in China. Here in the U.S., there just wasn’t a compelling enough reason for many consumers to change their entrenched routines. Now, though, Apple Pay’s ability to let customers shop inside physical stores and pay for things without having to make physical contact with a counter or card-reader may be the catalyst it needs to finally disrupt the payments industry.My own habits are noticeably changing on this front. Though I had my card information inside Apple Pay for years, I rarely ever used it. Old habits die hard, and I simply didn’t mind pulling out my credit card and paying for things the usual way. Nowadays? Not so much. Due to virus fears, I would rather not tap on a payment terminal’s numeric key pads or use my finger to sign for purchases when there is a much cleaner alternative. As a result, Apple Pay has now become the main way I pay for things whenever I venture outside.The way Apple Pay works is, you type in your credit card information into the Apple Wallet app. Once entered, you can pay for items at most physical store retailers by double-clicking the power button, authenticating using Face ID or Touch ID and then hovering your iPhone a few inches above the payment terminal. Google Pay and Samsung Pay work similarly on their respective smartphones. This type of proximity-based mobile payment enables consumers to pay for items without touching or handing over anything.  Traditional paper bills and physical card payment alternatives are filthy in comparison. An academic study cited by Mastercard found the average cash note has 26,000 bacterial colonies. And according to LendEDU, a personal finance products comparison website, credit cards contain even more germs than cash or New York City subway poles. It makes sense as cards are often put on tables, inside restaurant bill folders and are rarely cleaned, while cash is constantly circulated by hand.Yes, the credit-card companies are rolling out their own version of contactless or “tap-to-pay” payments. Visa and Mastercard both said in their most recent reported quarters that about one-third of global transactions are now contactless. But the usage rate of the new cards is much lower in the U.S. as many Americans have yet to receive them. Further, it still requires touching the physical card and tapping the terminal (or at least getting the card within a couple of inches). This year, Apple Pay will command 47% of the U.S. proximity-based mobile payment market, with Google capturing 19% and Samsung Pay 17%, according to an eMarketer forecast.Admittedly, the U.S. market is still small, and expectations were relatively muted heading into this year before the pandemic struck. Only about 33 million Americans were expected to use Apple Pay’s proximity-based payment feature in 2020, or 14.5% of smartphone users, according to an eMarketer forecast made in September. But things are a lot different now.If Apple Pay and its brethren do take off, there will be deeper ramifications across the industry. Credit-card companies will do fine because their card networks are still being utilized by the smartphone maker’s service. But it could be a negative for PayPal Holdings Inc., the payments company that dominates the adjacent market of digital checkout buttons for online retailers.PayPal’s e-commerce checkout button enables its users to pay for online orders on retailer websites without having to re-type address or payment information, reducing friction to complete orders. It is a critical cash cow for the company and accounts for nearly 90% of its earnings, according to MoffettNathanson.But Apple Pay also offers a competing digital checkout feature. And if Apple Pay became increasingly used inside physical stores, it seems likely customers will be inclined to use the service for e-commerce transactions as well, eating into PayPal’s business.With new consumer habits being formed in a coronavirus world, Apple’s gain may be PayPal’s pain.This column does not necessarily reflect the opinion of Bloomberg LP and its owners.Tae Kim is a Bloomberg Opinion columnist covering technology. He previously covered technology for Barron's, following an earlier career as an equity analyst.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Bloomberg

    Foxconn Assures Investors 5G iPhone Can Still Launch This Fall

    (Bloomberg) -- Apple Inc.’s most important manufacturing partner has reassured investors it can still get the latest 5G-enabled iPhones ready for an autumn launch despite global Covid-19 upheaval.Hon Hai Precision Industry Co., which makes most of the world’s iPhones, told investors it’s lost time to travel restrictions and other disruptions caused by the coronavirus pandemic. But with months to go before the first trial assembly lines start up in June, Hon Hai can still make the deadline, investor relations chief Alex Yang said on a private conference call hosted by Goldman Sachs.Hon Hai, known also as Foxconn, struggled through much of February after the Covid-19 outbreak delayed the return of the hundreds of thousands of workers it needed to assemble iPhones and other electronics. While it’s since resumed normal operations, the month-long hiatus cast Apple’s carefully calibrated product launch schedule in doubt. Much now depends on the course of the pandemic and a postponement remained very much on the cards though the new iPhones should emerge in time to catch the crucial holiday season, Yang said.“We and the customer’s engineers are trying to catch up the missing gap, after we lost some days due to travel ban. There’s opportunity and possibility that we might catch up,” Yang said. “But if there’s a further delay in the next few weeks, months, then you probably have to reconsider launching time. It’s still possible.”Foxconn said in a statement Wednesday’s conference call was intended to communicate its thoughts on the latest developments affecting the consumer electronics industry and not focused on any specific products or customer.Read more: Apple’s Supply Chain Woes Linger Even as China RecoversThe next iteration of Apple’s signature device may well be one of its most important in years -- an iPhone that can make full use of the fifth-generation wireless networks that promise much faster video and gaming. The U.S. company is already a step behind Samsung Electronics Co. and Huawei Technologies Co., which began selling 5G devices last year.Covid-19 is now jeopardizing Apple’s plans. Mass assembly is only one part of the iPhone maker’s supply chain, which encompasses hundreds of suppliers. Apple and its many partners spend months or even years sourcing individual components that are assembled into final products. Any disruptions to that complex network could slow the introduction of future devices. Trial assembly typically begins in early June and -- once finalized -- mass production commences in August, Yang outlined.As China’s largest employer and manufacturer of a plethora of electronics brands, Hon Hai encapsulates how the outbreak disrupted the global supply of made-in-China electronics. Apple scrapped its revenue guidance for the March quarter after the contagion disrupted its production chain: Hon Hai was forced to postpone the reopening of its “iPhone City” mega-complex in the central city of Zhengzhou while it imposed strict quarantine measures on thousands of laborers. But Foxconn has since sharply raised signing bonuses to attract new workers and said it reached full seasonal staffing level earlier than an original target of late March.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Huawei Warns of ‘Pandora’s Box’ If U.S. Curbs Taiwan Supply
    Bloomberg

    Huawei Warns of ‘Pandora’s Box’ If U.S. Curbs Taiwan Supply

    (Bloomberg) -- Huawei Technologies Co. is bracing for its most difficult year on record in 2020, when tightening U.S. sanctions and the Covid-19 pandemic threaten to slam an already slowing business.Rotating Chairman Eric Xu said he’s aware of the potential for Washington to tighten restrictions on the company, including by stopping Taiwan Semiconductor Manufacturing Co. from selling chips to Huawei. The Chinese government wouldn’t tolerate such action and it would irrevocably damage the global supply chain, Xu said in some of Huawei’s strongest comments against the Trump administration’s measures so far.“If the Pandora’s box were to be opened, we’ll probably see catastrophic damage to the global supply chain -- and it won’t just be one company, Huawei, destroyed,” Xu told reporters after unveiling 2019 earnings. “I don’t think the Chinese government will just watch and let Huawei be slaughtered on a chopping board. I believe the Chinese government will also take some countermeasures.”China’s biggest tech company remains in Washington’s cross-hairs even as Covid-19 spreads across the globe. The White House is reportedly considering imposing restrictions on the sale of semiconductors to Huawei by global corporations such as TSMC and Samsung Electronics Co., a move that would effectively deprive the Chinese giant of the most advanced chip technology. That would escalate already damaging restrictions on Huawei, which on Tuesday reported net profit grew 5.6% -- the slowest pace of bottom line growth in three years.“Why can’t China ban the use of American 5G chips, base stations, smartphones and other smart devices based on the same network security reasons?” Xu said, adding he couldn’t confirm reports about curbs on TSMC.Huawei had previously reported sales growth of about 19%, to 859 billion yuan ($123 billion) in 2019, roughly the same as in the previous year. And the Shenzhen-based company’s profit improved to 62.7 billion yuan. But Xu said 2019 was its most difficult year yet, when it was forced to transform its business after expansive scrutiny and sanctions from the U.S. The effort to contain Huawei -- and by extension, China -- forced the company to turn inward.The Trump administration’s campaign to get allies such as Japan and Australia to shut out Huawei gear and phones helped drive sales in the Asia-Pacific down 13.9%, though that was more than offset by a surge at home in China.In the fourth quarter alone, which was most impacted by the U.S. prohibition on Huawei selling Android phones with Google’s mobile services, the company shipped roughly 55 million devices, calculated from the difference between its September shipments update and the year’s total. Of the 240 million Huawei and Honor phones shipped, 6.9 million had fifth-generation wireless networking, an area where the company remains a tech leader.Pelosi Joins Trump in Warning Europe of Huawei’s 5G ThreatContrary to warnings from American lawmakers and diplomats, numerous European countries like the U.K. and Switzerland have opted to use Huawei’s technology in building out their 5G networks. The U.K. and Germany have both echoed U.S. concerns about how far Huawei can be trusted with key infrastructure of the future, but those have not extended to the severity of an outright ban.Huawei faces tremendous pressure in overseas smartphone markets, where the U.S. ban on its use of Google Mobile Services severely undercuts the appeal of its devices. Without the Google Play Store and third-party app ecosystem, Huawei phones simply can’t compete with similarly capable alternatives from the likes of Samsung Electronics Co. and OnePlus. The company reported flat revenue in Europe, the Middle East and Africa alongside the drop in the Asia-Pacific. Those regions were two of its major growth engines in 2018, whereas now 59% of its sales are at home in China.China’s ambitious 5G network construction projects, which started in the second half of last year, also helped Huawei weather the international storm and sustain its core businesses.Huawei Makes End-Run Around U.S. Ban by Using Its Own ChipsFounder Ren Zhengfei initially estimated that Huawei’s May 2019 blacklisting by the U.S. could wipe $30 billion off annual revenues and threaten his company’s very survival, though he has tempered that outlook more recently. Huawei mobilized a massive effort to develop in-house alternatives to American software and circuitry, while U.S. suppliers like Intel Corp. and Microsoft Corp. found ways to continue supplying Huawei vital components it needed to make its products. Huawei is also selling base stations free of American technology in another effort to bypass the U.S. ban.With no relief from U.S. sanctions in sight and the coronavirus pandemic stifling business across all industries, Huawei anticipates its most difficult year yet. Chinese smartphone sales, which the company is now particularly sensitive to, are already hurting. And its global 5G installations, for which Huawei has secured more than 90 contracts worldwide, are hitting the brakes with many countries implementing lockdowns and the global economy at a standstill.(Updates with top executive’s comments from the second paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Financial Times

    Samsung confirms coronavirus case at chip factory

    Samsung has reported its first coronavirus infection at one of its chip factories as the fallout from the pandemic reshapes global technology supply chains. The South Korean technology group confirmed on Tuesday that an employee at one of its computer chip manufacturing facilities near Giheung, south of Seoul, had tested positive for coronavirus. Samsung is the world’s largest producer of computer chips, smartphones and electronic displays.

  • Working From Home Gives Chipmakers Boost While Others Suffer
    Bloomberg

    Working From Home Gives Chipmakers Boost While Others Suffer

    (Bloomberg) -- As the coronavirus prompts talk of an earnings recession for most Asian emerging stocks, there’s an industry that’s holding up: chipmaking.The worldwide lockdowns due to the virus and the ensuing contractions in output have sparked indiscriminate selling across industries, and dismal earnings forecasts for this quarter and beyond -- except for the tech industry.Micron Technology Inc. last week reported adjusted earnings that beat Street estimates by 24% and predicted stronger-than-expected revenue, fueling optimism about other chipmakers’ prospects. With most of the population in major economies worldwide working or learning remotely, online and ecommerce services are booming, stoking demand for cloud storage and a recovery in memory-chip prices.“Definitely, demand for server chips is on the rise as people increasingly go on a shopping spree online and are working remotely with laptops,” said Lee Seung-Hoon, head of equity at DB Asset Management. “For the tech industry, demand for handsets and home appliances has been hit. But this new trend suggests chipmakers could rebound faster than other industries, once virus infections peak.”The earnings season kicks off in April with investors keen to look beyond the abysmal first quarter. Samsung Electronics Co., the world’s largest memory chipmaker, will give a clearer picture of the industry’s outlook in its preliminary earnings release scheduled next week. The company’s shares have been the most sold by foreigners among Kospi members in March.Shares of Samsung Electronics fell as much as 1.5% in Seoul, erasing an earlier gain. Peer SK Hynix Inc. was down as much as 2%.Here are three charts with evidence that global chipmakers have better prospects than most industries this earnings season:Korean ExportsKorea’s preliminary semiconductor exports gained further in March, extending a rebound from a low in late 2019, shrugging off the effects the global coronavirus outbreak.The advance contrasts with a slump in the Bloomberg Asia Semiconductor Index because of concern the virus would disrupt supply chains and destroy demand.Micron’s EarningsMicron Technology’s forecast-topping earnings and optimistic sales outlook bode well for other chipmakers in Asia and elsewhere, offsetting slow demand for smartphones and home appliances.DRAM PricesThe chipmaking industry’s earnings cycle has historically moved in tandem with semiconductor prices.DRAMeXchange has raised its DRAM server chip price forecast for the second quarter to a gain of 20%, up from its earlier forecast for a gain of 15%, citing growing demand from server manufacturers and cloud service providers.(Adds share price moves in sixth paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Samsung Display to end all LCD production by end 2020
    Reuters

    Samsung Display to end all LCD production by end 2020

    South Korean panel maker Samsung Display has decided to end all of its production of liquid crystal display (LCD) panels in South Korea and China by the end of this year, a spokeswoman said on Tuesday. Samsung Display, a unit of South Korean tech giant Samsung Electronics Co Ltd, said in October that it suspended one of its two LCD production lines at home amid falling demand for LCD panels and a supply glut. "We will supply ordered LCDs to our customers by the end of this year without any issues," the company said in a statement.

  • Samsung says chip factory worker tests positive for virus, output not affected
    Reuters

    Samsung says chip factory worker tests positive for virus, output not affected

    Samsung Electronics Co Ltd said on Tuesday that one of its chip factory workers in South Korea had tested positive for coronavirus, but its output has not been affected. This is the first time a Samsung chip factory employee has tested positive for the virus, although several confirmed cases at the tech giant's smartphone factory in South Korea's southeastern city of Gumi resulted in a temporary suspension. "One of our employees at our Foundry fab in Giheung, Korea, has tested positive with COVID-19," Samsung said in a statement, referring to the respiratory disease caused by the virus.

  • Microsoft Deal Values Affirmed Networks at $1.35 Billion
    Bloomberg

    Microsoft Deal Values Affirmed Networks at $1.35 Billion

    (Bloomberg) -- Microsoft Corp.’s agreement to acquire 5G software maker Affirmed Networks Inc. valued the company at about $1.35 billion, according to people familiar with the matter.Microsoft announced the deal on Thursday without disclosing financial details.Microsoft already serves telecom customers and struck an agreement with AT&T Inc. last year with the aim of moving more the carrier’s network to its platform. Microsoft has been building its cloud computing operations through acquisitions. In 2018, it bought privately held GitHub for $7.5 billion.Affirmed Networks also held talks with Samsung Electronics before its deal with Microsoft came together, one of the people said.Pete Wootton, a spokesman for Microsoft, declined to comment on the price. A representative for Affirmed Networks also declined to comment. Samsung didn’t respond to a request for comment.Microsoft shares fell 4.1% Friday to close at $149.70.The introduction of 5G is just starting, with test projects by carriers such as AT&T generally limited to select big cities. Nationwide U.S. coverage may take years. But tech giants and telecom industry incumbents have been angling for a slice of the market for edge computing and going after big corporate customers. The White House has made 5G a linchpin of its tech policy, particularly as it tries to suppress the global expansion of China’s Huawei Technologies Co.The networking industry is transitioning away from expensive fixed purpose machines that take care of specific parts of the job of managing the flow of data to software that resides in remote data centers. The aim is to make the things cheaper and more flexible.Affirmed Networks helps build virtual networks for telecom customers using 5G technology. It was founded in 2010 and had raised about $240 million in funding, according to Pitchbook Data. It raised financing just last month at a $1.35 billion valuation, people familiar with the matter said.Affirmed Networks said on Thursday that it was replacing its chief executive officer with one of its founders, Anand Krishnamurthy.Affirmed Networks, based in Acton, Massachusetts, is backed by investors including Qualcomm Ventures and Centerview Capital Technology Management, the venture arm of investment bank Centerview Partners, as well as by Lightspeed Management, CRV and Bessemer Venture Partners,(Updates with line on Samsung’s interest in fourth paragraph, adds share price in sixth paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Huawei Releases Latest Flagship Phone Amid Global Coronavirus Lockdown
    Benzinga

    Huawei Releases Latest Flagship Phone Amid Global Coronavirus Lockdown

    Huawei has announced the release of the flagship phone, but the launch comes at a time when many countries are imposing lockdowns, or asking for voluntary social distancing due to COVID-19.What Happened Huawei's P40 Pro Plus will be released on April 7, the company announced on Thursday. The flagship phone comes with a camera containing 5 sensors capable of 100x zoom. The P40 Pro Plus is the priciest in the P40 range at 1,399 Euros ($1,545).CNBC cited Ben Wood, chief analyst at CCS Insight, an industry analyst firm on the launch, "Arguably there could not be a worse time to launch a set of premium smartphones given the current global headwinds, but Huawei may be in a better position than some rivals."Why It Matters The COVID-19 pandemic has led to stay-at-home or lockdown orders in major phone markets such as India, China, the U.S., and Europe. Rival Apple Inc. (NASDAQ: AAPL) is considering putting off the launch of its first-ever 5G flagship device to 2021 due to pandemic related concerns.Due to trade restrictions imposed on Huawei, Alphabet Inc.'s (NASDAQ: GOOGL) (NASDAQ: GOOG) Android operating system is not supported on Huawei's devices. Popular applications like Gmail and YouTube are also absent from the phones.Huawei is developing its own Harmony OS operating system to get around the U.S. imposed restrictions, but has yet to ship any phones running it.The P40 Plus' camera was developed with German lensmaker Leica, the same company that Samsung Electronics Co. Ltd. (OTC: SSNLF) works with for its S20 range. P40 Plus pars with Samsung's Galaxy S20 Ultra and supports 5G.See more from Benzinga * Ariel Chairman John Rogers Thinks Current Market Is 'Once In A Lifetime Opportunity To Buy Stocks' * Tim Cook Announces Apple 10M Masks Donation To US Health Workers * Groupon's CEO And COO Resign(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

  • Sony Says Virus Disruptions May Hit Profit, Delay Reporting
    Bloomberg

    Sony Says Virus Disruptions May Hit Profit, Delay Reporting

    (Bloomberg) -- Sony Corp. said fallout from the coronavirus may wipe out a previously projected increase in its profit and force it to delay an earnings report scheduled for April.The Japanese company said two factories in China are returning to normal operation but continue to face component shortages, while facilities in Malaysia and U.K. will remain shut until middle of April because of government requests. Sony said it can’t dispatch employees to these locations to discuss assembly of new products.Sony had raised its forecast on Feb. 4, saying operating income will probably reach 880 billion yen ($8.1 billion) in the year ending March 31, compared with the 840 billion yen forecast in October. If profit comes in at the earlier figure, that would be a shortfall of about $370 million.“Given their high exposure to consumer spending, it is not surprising that COVID-19 is having an adverse impact on their business,” said Damian Thong, an analyst with Macquarie Capital.Sony joins a growing list of corporations forced to revise or scrap financial forecasts because of the virus.Apple Inc., Expedia Group Inc., and Twitter Inc. are among the technology companies that have withdrawn or modified guidance in the wake of the pandemic, which has disrupted supply chains, upended demand and forced millions of people to work from home. On Thursday, Dell Technologies Inc. and VMWare Inc. became the latest to withdraw their earnings outlooks.Sony had been benefiting from strong demand for the image sensors that power smartphone cameras, but production and sales of such devices have taken a hit in recent weeks. It supplies Apple and Samsung Electronics Co., among others.A Sony spokeswoman said it doesn’t see any notable impact on the launch of its next-generation game console PlayStation 5 planned at the end of this year.Sony shares have slid about 10% this year.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Olympics delay deals setback to Samsung's plans to win over Japan market
    Reuters

    Olympics delay deals setback to Samsung's plans to win over Japan market

    For Samsung Electronics Co Ltd , the 2020 Tokyo Olympics were going to be its springboard to attain a long-held goal - making significant inroads into Japan's lucrative smartphone market where Apple Inc dominates. It had been expected to tout its 5G capability in its Olympics ads, aiming to attract a population excited to watch the Games with cutting-edge technology before Apple had a 5G product on the market.

  • Ericsson Is Undervalued and a Potential Acquisition Target
    GuruFocus.com

    Ericsson Is Undervalued and a Potential Acquisition Target

    The company is fundamentally solid and could be a potential acquisition target Continue reading...

  • Micron Gives Strong Outlook Lifted By Data-Center Demand
    Bloomberg

    Micron Gives Strong Outlook Lifted By Data-Center Demand

    (Bloomberg) -- Micron Technology Inc. predicted stronger-than-expected revenue helped by a surge in orders from data center operators who are building more capacity to deal with the expansion of people working from home.Revenue will be $4.6 billion to $5.2 billion in the fiscal third quarter, which ends in May, Micron said Wednesday in a statement. Analysts had projected $4.88 billion, according to data compiled by Bloomberg. Adjusted earnings will be 55 cents a share, plus or minus 15 cents. Analysts, on average, estimated 52 cents a share.Micron is one of the first chip industry companies to report earnings and give predictions since millions of people have been told to stay home to help slow the spread of the Covid-19 pandemic. That huge shift in the workforce has placed a greater strain on the internet’s infrastructure, spurring demand for Micron’s memory chips and making up for some of the shortfall in orders for smartphone components, as shoppers stay away from stores.“In the data center market, we benefited from strong demand for our products from key cloud and enterprise customers, driven in part by ongoing strength in cloud markets, increased use of online properties such as e-commerce, and the surge in remote-work requirements due to COVID-19 containment measures,” Micron Chief Executive Officer Sanjay Mehrotra said in prepared remarks posted on the company’s website.In a slide presentation, Micron also cited increased gaming activity. While the markets for smartphones, consumer electronics and autos are below previous expectations, Micron said it’s seeing an increase in demand for notebooks to support work at home and virtual learning.The company has two employees who have tested positive for the virus. Through efforts to quarantine them, there hasn’t yet been an impact on the company’s manufacturing output, Micron said. The Boise, Idaho-based company has plants in Singapore, Malaysia and Japan, where the spread of the virus was felt sooner. That raised concern Micron’s output would slow. The company, however, said it has resumed manufacturing in Malaysia and found testing and assembly facilities in other parts of the world to help.“Micron still has ample inventory that would limit a near-term supply chain disruption,” Cowen and Co. analyst Karl Ackerman wrote in a report before the results were released. “The supply bottleneck has morphed into a demand challenge, however, and our field work on the smartphone and PC supply chains indicates low visibility for second calendar-quarter production.”The company makes dynamic random access memory chips, which help processors crunch data in computers and smartphones, and Nand flash memory, which stores information in those devices. Memory used in servers is typically more expensive and chips used in storage for those machines also usually commands a higher price.Micron cautioned that its numbers are a lagging indicator of orders for end products and that some customers may be stockpiling chips, which may mask the true picture of demand.Shares rose about 5% in extended-trading following the report. They closed at $42.50 earlier on Wednesday, leaving them down 21% this year.Net income in the period ended Feb. 27 fell to $405 million, or 36 cents a share, from $1.62 billion, or $1.42 a share, a year earlier. Revenue declined 18% to $4.8 billion. Micron’s biggest competitors are South Korea’s Samsung Electronics Co. and SK Hynix Inc.(Updates with comments from CEO in the fourth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

  • Moody's

    Samsung Electronics Co., Ltd. -- Moody's announces completion of a periodic review of ratings of Samsung Electronics Co., Ltd.

    Announcement of Periodic Review: Moody's announces completion of a periodic review of ratings of Samsung Electronics Co., Ltd. Hong Kong, March 24, 2020 -- Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of Samsung Electronics Co., Ltd. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers.