'Retail investors on edge' as Samsung Electronics–SK hynix buybacks near completion... Will KOSPI face a supply-demand gap?

[Financial News] Samsung Electronics and SK hynix are expected to complete their share buybacks as early as next month. Since the companies' buybacks are widely seen as having provided downside support for the KOSPI Composite Index, concerns are growing that a supply-demand gap could emerge.
According to the Korea Exchange (KRX) corporate disclosure channel on the 20th, Samsung Electronics purchased 39.8 million shares over 20 trading days from the 24th of last month through the 18th. SK hynix also bought 14.15 million shares over 22 trading days beginning on the 20th of last month. The two companies have completed 74.69% and 58.79%, respectively, of their planned purchases.
The market initially expected Samsung Electronics and SK hynix to continue their buybacks through mid-November. Samsung Electronics is purchasing approximately 2 million shares per day on average, while SK hynix is buying about 650,000 shares. At this pace, both companies are expected to complete their buybacks around the middle of next month, even after accounting for holidays such as the Chuseok holiday and the substitute holiday for National Foundation Day.
As a result, if both companies halt their buybacks after the Chuseok holiday, volatility in the KOSPI Composite Index could increase. Kang Jin-hyuk, a researcher at Shinhan Investment & Securities, said, "Share buybacks can serve as an important source of downside support as the market navigates seasonal weakness in September and macroeconomic volatility." He added, "To sustain the market rebound, it is necessary to assess the possibility of foreign and retail investors, the main market-flow participants, returning to the market."
As of 9:54 a.m. on the 21st, the KOSPI Composite Index had opened higher, gaining 72.94 points from the previous trading session to reach 6,967.17. Samsung Electronics was trading at 269,750 won, up 8,750 won, or 3.35%, while SK hynix was trading at 1,864,000 won, up 7,000 won, or 0.38%.
[email protected] Kim Hee-sun Reporter