On Monday, Samsung’s shares dropped by over 4% after Morgan Stanley downgraded its outlook for the tech giant, citing concerns over a potential decline in memory chips prices due to a supply glut.
In late October, Samsung reported a record third-quarter profit of 11.19 trillion won ($9.9 billion), up 2.5 times compared to the same period last year. The company posted 14.53 trillion won (approximately $13 billion) in operating profit, up 2.8 times from the figure in the same period in 2016.
Morgan Stanley lowered its target stock by 3.4% to 2.8 million won. Following the outlook, Samsung’s shares declined by 4.2% to 2.66 million won, marking the biggest daily fall in more than a year.
At the same time, the Korean giant’s shares gained 47% so far this year, giving it a market value of around $353 billion.
