Samsung earns 19 times more than a year ago. Investors have reacted by sinking the stock 7%

Samsung has announced that its operating profit soared to 89.4 trillion won (58.4 billion dollars) in the second quarter of 2026. That represents 1,810% more than what it achieved last year, that is, it multiplied by 19 the figure it achieved in the same period of 2025. The curious thing is that this achievement has not been of much use in the short term, because its shares have plummeted 6.9% according to indicate on Nikkei Asia. What has happened?

A magical quarter. The operating profit for the second quarter of 2025 was just 4.7 trillion won, a very modest figure that can be explained simply: although it may seem incredible now, at that time the memory industry was going through a major crisis that would soon be completely revolutionized with the rise of AI and AI data centers. What was achieved in this second quarter of 2026 nevertheless remains colossal, and in fact Samsung has exceeded the operating profit of its last three years in a single quarter.

Blessed damn memories. While users suffer one of the worst crises in history to purchase or upgrade our devicessemiconductor companies They are living a golden age. According to Citi Research, average selling prices for DRAM and NAND are up 44% and 53% respectively… this quarter alone. The demand for AI is no longer limited only to HBM modules, but also to conventional memory used in mobile phones, computers or business servers.

But stocks plummet. Despite these results, the actions they fell around 7% on the South Korean stock market in the last 24 hours. Analysts in Nikkei indicated that this was a classic “sell on the news.” Investors had been anticipating these results for months, and in fact Samsung shares had already multiplied their value by five in the last year.

Fall and then rise again? What has happened when this maximum was confirmed is that many of these investors have preferred to take profits before the demand for AI is not sustainable and there is an excess of supply in the memory sector. That does not seem likely in the short term, and the manufacturers themselves have already made it clear that demand It will be much higher than the supply at least until 2028. It therefore does not seem likely that Samsung shares will fall for a prolonged period, and if everything goes as it seems, it is reasonable to think that they will in fact continue to rise. Beware: this is not financial advice, it is simply what the market predicts.

Market correction. Other companies in the sector also suffered significant falls. In the same session SK Hynix, its great rival, fell 6.1% after collapsing 11.2%. The KOSPI index – something like South Korea’s IBEX 35 – fell 4.9% and the impact was also felt in Japan. There Koxia fell more than 12% and SoftBank more than 4%.

Backdrop. The crash comes just as SpaceX enter on the prestigious Nasdaq 100 and when the IPO of SK Hynix in the US is also imminent (scheduled for July 10). Not only that: just a week ago South Korean President Lee Jae Myung presented a public-private investment plan with Samsung and SK Hynix to expand chip manufacturing capacity in the country. Said project will theoretically have a billion dollars of funds (in Nikkei they talk about 800,000 million, the figures they dance) and can further boost the leading role of its two great bastions in the world of semiconductors.

In Xataka | Samsung had been the absolute king of technology in South Korea for decades: SK Hynix has just surpassed it