Samsung shares bounced off bottom and rose the most since January 2021

It would seem that the South Korean giant Samsung Electronics has been plagued by failures for a long time, and its stock quotes have fallen by almost 32% since the beginning of the year, but this week they found a local “fulcrum”, pushing off from it for the strongest growth within the session since January 2021 . The exchange rate immediately increased by 8.6%, which has not happened for a long time.

Image Source: Samsung Electronics

As Bloomberg notes, there were no apparent reasons for such a strong rise in the rate within one trading session, and investors simply felt that Samsung’s assets had fallen in price enough to become attractive for acquisition. Until Friday, Samsung shares were continuously declining in price. The correction is considered technical, but no one can predict whether growth will continue in the future.

According to the source, 50,000 won per share is a psychologically important mark for South Korean investors, and Samsung shares just broke through it the day before. After this, they became attractive to investors and rose in price to 53,800 won per piece. Even at this level, Samsung shares remain undervalued as investors remain cautious about making forecasts for next year. The memory market as a whole is not in the best shape right now, Samsung is inferior to SK hynix in the supply of HBM, and uncertainty in the foreign trade sphere, generated by the election of Donald Trump as President of the United States, is also on the agenda. The business of Korean memory manufacturers is highly dependent on China, with which the United States’ relations have been steadily worsening for several years now.