Samsung Just Authorized Its Largest Shareholder Return Ever. Every Major Memory Stock Fell Monday.
The biggest shareholder return in Korean history just met a market that wanted even more. The sell-off shows where investors think this cycle is.
Overview
The board of Samsung Electronics (OTC:SSNLF) on Friday approved a shareholder return plan for 2026 estimated at 90 trillion to 110 trillion Korean won, or about $65 billion to $80 billion. That is about five times the company's previous record of 20.3 trillion won, set in 2020, and the largest shareholder return ever by a Korean company.
A payout that size is possible because the memory business is earning more than it ever has. Samsung's second-quarter operating profit rose 19-fold year over year on artificial intelligence (AI) memory demand.
Details
The announcement landed after Seoul's Friday close, so Monday was the Korean market's first chance to react. Samsung's shares fell 8.7%, and the Kospi dropped more than 3%.
Source
Originally published at www.fool.com.