Samsung Electronics Co Ltd posted a surprise record gain in the first quarter on Friday, but market reaction moderated due to growing concerns that the semiconductor boom that has boosted the South Korean technology giant's earnings is about to end .
after the announcement, analysts predicted similar or lower earnings in the second quarter, due to slower growth in DRAM chip prices and higher marketing costs for the Galaxy S9 smartphone.
"Even if earnings begin to fall in the second half, Samsung will have a good balance this year," said Song Myung-sup, an analyst at HI Investment & Securities, forecasting a more flexible supply of DRAM chips to start lowering prices.
The global leader in semiconductors and smartphone rival Apple Inc forecasts January-March earnings to jump 57.6 percent from the previous year to 15.6 trillion won ($ 14.7 billion), exceeding an average forecast of 14.5 trillion won. a Thomson Reuters poll of 21 analysts. [19659003Leadstotherigthincreasedto187billionbillionssaidSamsungendaregulatorymakingreportThedevelopmentdevelopmentdatesdirectionanddivideddatesbybriefsaredamageddata
Samsung's shares fell to 2.7 percent on Friday before losses fell 0.7 percent at 0345 GMT (11.45pm ET), compared with one The analysts said the Samsung shares were hit by a UBS report that forecast an increase in the supply of DRAM chips used in the servers, which dragged shares of Micron Technology Inc. more than 6 percent on Thursday.
] The prices of NAND chips commonly used in mobile devices began to fall at the end of last year and analysts have been waiting for signs of the peak in the DRAM price boom as well.
Even if the growth of DRAM prices is at its peak, analysts said Samsung remained on track for record annual profits.
"Although increases in the prices of memory chips have slowed since the chip boom, lower prices could also increase the demand for chips, and Samsung has the ability to reduce costs to maintain profits", said Greg Roh, an analyst at HMC Investment & Securities.