Lyons: A 15% to 25% pullback in the Korean Kospi index would present an attractive entry point, with top picks including Samsung Electronics, SK Hynix, and others

Gelonghui June 30th｜CLSA released a report stating that the South Korean government, together with Samsung and SK Group, has announced a large-scale artificial intelligence (AI) investment plan with a total amount exceeding 47.5 trillion won. The plan covers semiconductors (32.06 trillion won), physical AI (amount undisclosed), and AI data centers (up to 15.5 trillion won). Although the investment timeline extends to 2035 and beyond, the bank believes that the short-term impact is limited, but this move reinforces the long-term cycle of AI investment and industry positioning. Based on this theme, CLSA's preferred companies include Samsung Electronics, SK Hynix, Samsung C&T, Hyundai Motor, Hyundai Mobis, Samsung E&A, and Naver. For the Kospi Index, the bank continues to consider a pullback of 15% to 25% as an attractive entry point, and the recent 14% decline provides a compelling opportunity.