Korean chip stocks dip on Nvidia’s plunge

Courtesy of Yonhap News

A sharp decline in Nvidia Corp. stocks despite its record sales announcement on Wednesday local time caused South Korean chip stocks to fall sharply on Thursday.

Shares of Samsung Electronics Co. dropped 2.88 percent to 74,200 won ($55.5) as of 10:51 a.m. on Thursday.

Shares of SK hynix Inc., which supplies high-bandwidth memory (HBM) to Nvidia, were trading at 169,300 won, down 5.58 percent from the previous session. The company saw its stock price drop by more than 30 percent since mid-July 2024, when shares soared to a record high of 248,500 won, while Hanmi Semiconductor Co., a supplier of equipment to SK hynix, saw its shares fall 8.55 percent to 112,300 won as of 10:53 a.m.

The decline comes after Nvidia announced a second-quarter 2024 revenue of $30.04 billion and earnings per share of $0.68 on Wednesday, beating market expectations. Despite the strong earnings, Nvidia shares were down about 6 percent in after-hours trading.

Meanwhile, Yuhan Corp. shares continued an upward trend following the recent approval of its lung cancer treatment, Leclaza, by the U.S. Food and Drug Administration. The shares were trading at 141,300 won as of 10:56 a.m., up 4.28 percent from the previous day.