Chip Stocks on the Decline: Is a New Era Starting?

Chip manufacturers are undergoing a sharp correction process in their stocks, which have reached record levels amid recent disruptions. According to experts, these declines also bring serious concerns about the health of the sector.

Samsung Electronics and SK Hynix, among others, have caused the Kospi Index to drop by up to 6%, and similar dangerous movements are not limited to South Korea. Companies such as Advantest Corp. in Japan have experienced a loss of around 10% in their stock prices, while Asia's largest semiconductor producer, TSMC, has also shown a decline of over 3%.

The rapidly growing AI-focused chip manufacturing in recent months is causing concern among investors and market analysts. The demand for chips needed for AI applications is emerging as a key factor that solidifies the market's rise. However, the dynamics behind this demand have become quite fragile.

During this period, investors are questioning whether the fluctuations in stocks are merely a short-term trend or the beginning of longer-term issues. The chip industry has shown significant growth, especially in the post-pandemic process, but whether this growth is sustainable remains a big question mark.

Experts emphasize the importance of attention to these fluctuations in the chip sector, noting that future economic uncertainties could affect investors' decision-making processes. In particular, evaluations made by rating agencies regarding the cost structure and profitability ratios of chip manufacturers could lead to broader impacts in the markets.

As a result, these sudden corrections in chip stocks highlight the necessity for investors to be cautious. Experts are closely monitoring the situation and indicate that an unpredictable turmoil may be on the horizon in this field.