Foreign ownership of Samsung shares rebounded: Korea Exchange

Foreign ownership of Samsung Electronics shares reached 52.08 percent as of May 19, as per data from the Korea Exchange. It has rebounded to levels seen over a year ago, driven by mounting expectations of an improvement in semiconductor inventory.

This marks a significant milestone as it is the first time since March 4, 2022, when the rate stood at 52.05 percent, that it has entered the 52 percent range. Last year, the decline in foreign ownership of Samsung was primarily influenced by concerns surrounding an economic slowdown.

The report suggests that foreign investors responded by embarking on a selling spree of Samsung Electronics shares to fall below 50 percent for the first time in six years on June 17 last year, and it came to its lowest point at 49.24 percent on September 29.

Since the beginning of the year, foreign investors have made net purchases of Samsung Elec shares worth a staggering $6.93 billion. This trend has become even more pronounced in recent times, with foreign investors buying 1.29 trillion won worth of shares this month alone.

“As Samsung Electronics and SK Hynix join in production cuts along with Micron, oversupply in the memory market is expected to improve from the third quarter, and the two Korean memory chip makers are expected to benefit from the recovery in market demand starting in the third quarter,” Doh said.

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