Samsung Group Stocks Plunge One After Another as KOSPI Falls 3%; Mid- and Small-Caps, Rechargeable Batteries Rally

[Financial News] Samsung Electronics, Samsung Life Insurance, Samsung C&T Corporation, and other major Samsung group stocks are falling sharply across the board, dragging the KOSPI down by more than 3%. At the same time, a rotation into mid- and small-cap stocks and rechargeable batteries is under way, creating a stark divide between Samsung group stocks and the rest of the market.
As of 12:20 p.m. on the 24th, Samsung Electronics was trading at 257,500 won, down 8.53% from the previous session. The stock, which closed at 270,000 won on the 21st, lost the 260,000-won level in just one day.
Other Samsung group stocks are also deepening their losses. Samsung Life Insurance has plunged 11.42% to 291,000 won, while Samsung C&T Corporation is down 8.85% at 360,500 won. SK hynix, which had led the domestic market's semiconductor rally alongside Samsung Electronics, is also trading lower, down 2.95% at 1,679,000 won.
By contrast, Samsung SDI Co., Ltd. is showing unusual strength among major Samsung group stocks, rising 7.53% from the previous session to 514,000 won. The gains are being attributed to expectations for investment in Energy Storage System (ESS) projects through the sale of Samsung Display Co., Ltd. shares.
The sharp drop in Samsung group stocks is weighing on the KOSPI. At the same time, the KOSPI is down 226.48 points, or 3.28%, from the previous session at 6,686.47. The index opened at 6,881.07 and widened its losses during the session, slipping below the 6,700 level.
Brokerage firms pointed to a gap between market expectations and the actual announcement of Samsung Electronics' shareholder return policy as the reason for the stock's plunge. Samsung Electronics had signaled shareholder returns worth 90 trillion to 110 trillion won, including a special dividend of 30 trillion won, but analysts said the announcement fell short of market expectations and was seen as a catalyst that had already played out. Samsung Life Insurance and Samsung C&T Corporation also weakened in tandem, which was interpreted as an extension of the same trend.
What stands out is that, despite the sharp drop in Samsung group stocks, the broader market is not collapsing. The KOSPI large-cap index is down 3.59%, but the mid-cap index is up 0.99% and the small-cap index is up 0.52%. Even as the KOSPI falls more than 3%, advancing stocks number 484, outpacing declining stocks by 108.
The KOSDAQ is moving in the opposite direction from the KOSPI. At the same time, the KOSDAQ Index is up 11.78 points, or 1.47%, from the previous session at 813.72. While the KOSPI has fallen 3.28%, the KOSDAQ has risen 1.47%, widening the gap in their daily performance to as much as 4.75 percentage points.
Kim Ki-baek, a research analyst at Shinhan Investment & Securities, said, "Samsung Electronics, which disclosed shareholder returns, has plunged, but active rotation is taking place." He added, "Funds leaving Samsung Electronics are flowing into the KOSDAQ, where rechargeable batteries and Materials, Parts, and Equipment Industry stocks are also posting gains."
[email protected] Choi Du-seon Reporter