The KOSPI index surged 2.41% on Friday, ending a seven-week losing streak with an 11.5% gain for the week, driven by strong performances in memory chip stocks like SK Hynix and Samsung Electronics. The rally was sparked by SanDisk's Investor Day, where it projected robust revenue growth and high profit margins through 2030, resetting market expectations for NAND memory valuations. This optimism also boosted SK Hynix’s NAND unit Solidigm, which plans a Nasdaq listing. Despite the rally, investors should note that Samsung and SK Hynix's earnings are more tied to DRAM and high-bandwidth memory than NAND. Looking ahead, supply tightness may continue into 2027, and foreign investors have shown renewed interest in South Korean stocks, suggesting potential further gains for the KOSPI.
