Samsung Electronics stock price soars on foldable phones, AI chips - 코리아타임스

Samsung Electronics building in Seocho District in southern Seoul / Yonhap

By Anna J. Park

Samsung Electronics' stock price surged in Friday's trading session, closing at 71,000 won ($53.8), marking a 6.13 percent increase from the previous day. This is the first time in a month that the stock price has surpassed 70,000 won since Aug. 1 when it closed at 71,100 won.

Friday's surge is largely attributed to media reports earlier in the afternoon, announcing the Korean tech giant will start supplying NVIDIA with the fourth-generation high-bandwidth memory (HBM), or HBM3, as early as next month. HBM is a standardized high-speed stacked memory technology, providing wide channels for data and shortening information transmission time.

Local media outlets reported that Samsung passed NVIDIA's quality test for HBM3 on Thursday, simultaneously entering into a supply contract. The contract also states the Korea-headquartered global chipmaker's supply plan for the next year.

As Samsung Electronics has succeeded in securing NVIDIA, following AMD, as its key clients, Samsung's global market share in the HBM market is expected to surpass 50 percent in the next year.

So far, NVIDIA has been exclusively supplied with HBM3 from SK hynix. With the news, the stock price of the SK hynix fell to 120,000 won at Friday's closing, a 1.48 percent fall from the previous session.

Benjamin Braun, Samsung Europe's chief marketing officer, delivers a keynote speech during a press conference at CityCube Berlin, Germany, Thursday. Courtesy of Samsung Electronics

Another factor that boosted Samsung stock price's surge on Friday is that Benjamin Braun, chief marketing officer of Samsung Europe, announced at the IFA 2023, an annual tech trade show in Berlin, Germany, on Thursday, local time, that Samsung's Galaxy Z Flip 5 and Fold 5 have both achieved new sales records in Europe. He highlighted that the sales volume of foldable smartphones in Europe has surpassed that of the Galaxy Note series on an annual basis.

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