Korean analysts say that despite slowing memory chip price increases, Samsung Electronics and SK Hynix profits continue to grow.

Analysts in South Korea believe that even if the rise in storage chip prices slows down, increased shipments and improvements in product mix can still drive sustained growth in corporate profits. Since supply is difficult to expand quickly, a narrowing in price increases should not be directly interpreted as a signal of declining profits. Lee Jong-wook, a researcher at Samsung Securities, and others pointed out: "Peak margins do not necessarily mean peak profits. The most notable feature of this cycle is the duration of the profit cycle." In terms of supply, storage chip manufacturers find it difficult to aggressively expand capacity as they did in the past. The production of high-bandwidth memory (HBM) occupies part of the existing capacity, and it takes time for newly built production facilities to ramp up capacity. Therefore, the interval between the slowdown in storage chip price increases and the decline in corporate profits is expected to be extended. Based on this judgment, analysts believe that the recent weakness in stock prices has excessively reflected market concerns about profit prospects, and thus maintain a "buy" rating for Samsung Electronics and SK Hynix.