KB Securities: Samsung Electronics' AI Investment Profitability Outlook Takes Priority Over Concerns About Rising Interest Rates

DeepTech TechFlow reports that on August 20, according to Yonhap News Agency, KB Securities' Head of Research Kim Dong-won stated that investors should focus more on the early profitability potential of Samsung Electronics' AI investments rather than concerns about investment contraction caused by rising U.S. long-term Treasury yields. Kim Dong-won pointed out that, considering the recent performance of hyperscalers, the AI investment recovery cycle is expected to shorten to within three years. Additionally, major cloud service providers such as Amazon, Google, and Microsoft have already booked infrastructure capacity through 2028, indicating that demand for AI infrastructure will remain strong in the short term. Over the past two days, Samsung Electronics' stock price has dropped nearly 10% due to concerns about AI investments triggered by rising U.S. long-term Treasury yields, closing at 247,500 KRW. KB Securities believes this sharp decline could serve as a rebound opportunity in the medium to long term. Furthermore, it estimates that Samsung Electronics' cumulative special dividends from 2024 to 2026 will exceed 100 trillion KRW, potentially becoming a significant catalyst for boosting the valuation of Samsung Electronics and the overall South Korean stock market.