Samsung and SK hynix Shares Slide Again as U.S. Chip Selloff Drags KOSPI Past 3%

On Tuesday, August 25, 2026, Samsung Electronics and SK hynix led a broad retreat in South Korea’s semiconductor stocks for a second straight session, dragging the KOSPI more than 3% lower in morning trading. Samsung shares fell roughly 4% and SK hynix dropped as much as 6%, extending Monday’s heavy losses after an overnight U.S. chip-stock selloff and continued disappointment over Samsung’s shareholder-return plan.

Editor’s note: This article draws on Korea Exchange data and reporting by Seoul Economic Daily, The Asia Business Daily, Aju Press, and The Korea Herald on August 24–25, 2026. Intraday figures reflect morning-session trading and may change at the close.

What happened on August 25

The KOSPI opened sharply lower and quickly breached the 6,500 level. According to the Korea Exchange, the benchmark opened at 6,535.93, down 161.03 points, or 2.40%, from Monday’s close. Selling intensified after the bell, and by 9:08 a.m. KST the index stood at 6,491.02, down 205.94 points, or 3.08%.

The tech-heavy KOSDAQ also weakened, opening at 806.93, down 0.79%.

Among Korea’s largest listed companies, chip names bore the brunt:

Stock	Approx. morning decline
Samsung Electronics (005930.KS)	~3.7–4%
SK hynix (000660.KS)	~5–6%
SK Square	~4.5–6.7%
Samsung Electro-Mechanics	~4–5%

Foreign investors were net sellers, adding to pressure on large-cap tech names, while a handful of financial and industrial stocks held up better — including Shinhan Financial Group and KB Financial Group, which traded modestly higher in morning deals.

The overnight U.S. chip selloff

Analysts linked Korea’s opening weakness to a wave of selling in New York semiconductor names on Monday, August 24.

Overnight U.S. market snapshot:

Index / stock	Move
Dow Jones Industrial Average	+0.3%
S&P 500	−0.3%
Nasdaq Composite	−0.8%
Nvidia (NVDA)	−2.9% (seventh straight losing session)
Micron Technology	−5.9%
SanDisk	−6.5%
AMD	−3.5%
Broadcom	−2.6%

Because Samsung and SK hynix sit at the center of the global memory and foundry supply chain, moves in U.S. chip leaders often spill directly into Seoul trading. Monday’s U.S. weakness came as investors trimmed positions ahead of Nvidia’s earnings report, scheduled for Wednesday, August 26 — widely seen as the next major test of AI chip demand and sector sentiment.

Hangover from Samsung’s payout plan

Tuesday’s slide did not start in a vacuum. On Monday, August 24, Samsung shares had already plunged 8.7% after the company unveiled a 2026 shareholder-return plan of 90 trillion to 110 trillion won (roughly $65 billion to $79 billion) — the largest payout pledge in Korean corporate history, but still below market hopes of as much as 150 trillion won.

Investors flagged several gaps:

• No immediate share-cancellation plan, which many had expected after SK hynix’s more aggressive buyback-and-cancel approach
• Unclear timing for returning the remaining 60 trillion to 80 trillion won beyond the 30 trillion won third-quarter cash dividend already pledged
• Legal constraints under Korea’s financial-industry law: large buybacks could force affiliated insurers Samsung Life and Samsung Fire & Marine to sell shares to stay below ownership caps, limiting room for aggressive cancellations

Monday’s Samsung rout helped pull the KOSPI down 3.12% to 6,696.96, with foreign investors selling a net 3.68 trillion won of shares. SK hynix also fell on Monday, and both names remained under pressure as traders treated the payout disappointment as a sector-wide signal about how much cash Korea’s chip leaders would return versus reinvest.

What analysts are watching next

Several near-term catalysts could determine whether Tuesday’s weakness marks a deeper turn or a short-term correction:

Nvidia earnings (August 26)

Market participants view Nvidia’s results and its outlook for AI semiconductor demand as the most important variable for global chip sentiment. A strong report could stabilize U.S. and Korean memory stocks; a miss could extend the selloff.

Bank of Korea policy meeting (August 28)

Attention is also turning to the Bank of Korea, which meets on Thursday. A slim majority of economists surveyed expect a 25-basis-point rate hike to 3.00%, following a surprise increase to 2.75% in July. Higher rates can weigh on equity valuations, though some analysts argue recent pressure is more about stock-specific supply and demand than macro fundamentals.

January 2027 payout details

Samsung has said it will decide how to return the remainder of its 2026 shareholder package at a January 2027 board meeting, once full-year earnings are finalized. Until then, the gap between headline payout size and concrete buyback/cancellation mechanics may keep the stock volatile.

Broader market context

Korea’s semiconductor heavyweights have been central to the KOSPI’s multi-year rally, tied to booming demand for high-bandwidth memory (HBM) and advanced logic chips used in AI data centers. That concentration cuts both ways: when global tech sentiment turns, Samsung and SK hynix can move an entire index.

Some Seoul-based strategists framed the latest drop as a short-term adjustment rather than a fundamental break. Han Ji-young, a researcher at Kiwoom Securities, told Aju Press that pressure ahead of Samsung’s payout announcement and Nvidia’s earnings reflected supply-and-demand volatility, and that further macro shocks from rates or oil appeared less likely — suggesting investors should avoid panic selling at current levels.

Others remain cautious. Lee Young-gon, research center leader at Toss Securities, noted that while Samsung’s plan disappointed relative to lofty expectations, the company still demonstrated capacity to return up to 110 trillion won while funding large-scale investment — a sign of underlying cash generation even if the market wanted more buybacks.

---

Discussion

Korea’s chip giants are tied to the same global AI trade that lifted them — and the same earnings calendar that can pull them down in hours.

1. Did Samsung’s record payout plan change how you view the stock?

The headline number is historic, but the lack of immediate cancellations and the January timeline left the market wanting more. Is a massive dividend enough, or do you need to see the share count shrink?

2. How much does Nvidia’s earnings report matter for Samsung and SK hynix?

Nvidia does not compete directly with Korea’s memory makers, yet its results often set the tone for the whole semiconductor complex. Would a weak Nvidia outlook make you rethink exposure to Korean chip names?

If you follow the KOSPI, share how you’re reading this two-day slide — temporary shakeout or something more lasting.

---