Goldman Sachs: South Korea AI Stocks Oversold, Core Logic Intact

ME News reports that on August 6 (UTC+8), Goldman Sachs has not reversed its stance on Korea’s AI chain despite recent sharp declines. The firm’s latest view holds that the selling pressure on Korean AI-related stocks has been excessive, and it continues to maintain an overweight position on the Korean equity market, viewing the memory cycle as the core支撑 of this rally. Goldman Sachs believes this downturn primarily reflects the unwinding of positions and leverage, without undermining the underlying fundamentals. The firm’s core thesis remains the sustained demand from AI computing for DRAM, HBM, and NAND. It argues that AI servers, cloud providers’ capital expenditures, and demand for high-bandwidth memory are creating longer-term supply-demand imbalances, and the market has yet to fully price in the possibility that memory chip shortages could persist until 2030. Given memory manufacturers’ high operating leverage, profitability will expand rapidly if prices remain strong. This explains why Goldman Sachs remains bullish on the Korean market even after the sharp correction. Samsung Electronics and SK Hynix together account for approximately half of the KOSPI’s weight, making the Korean equity market essentially a high-beta proxy for the global AI hardware cycle. For U.S. investors, this logic also extends to Micron, SanDisk, Western Digital, and the semiconductor equipment chain. Although AI stocks have recently experienced heightened volatility, as long as cloud providers’ capital expenditures do not significantly slow down, memory remains the most directly受益 component of AI infrastructure. (Source: BlockBeats)