The KOSPI crossed the 7,000 mark for the first time in intraday trading, prompting brokerages to successively raise their upper-range forecasts for the index. Some securities firms have set KOSPI targets as high as 8,600, while market watchers are even discussing the possibility of a "KOSPI 10,000 era."
According to the Korea Exchange on Thursday, the KOSPI surpassed the 7,000 level in intraday trading. The simultaneous surge of the chip duo Samsung Electronics (005930.KS) and SK hynix (000660.KS) drove the index higher. Market participants have dubbed the two stocks "Samjeon-nix," viewing them as the core axis leading the current rally.
Samsung Electronics' rise has been particularly notable. In early trading, its share price hovered around the 250,000 won level. This marks a complete shift from just a year ago, when the stock was stuck in a boxed range around 50,000 won.
What brokerages are focusing on is not simply the share price gain but the pace of earnings improvement. Samsung Electronics' annual net profit this year is estimated to reach approximately 294 trillion won ($205 billion). After posting a net profit of 47 trillion won in the first quarter, the company is projected to record quarterly net profit of more than 88 trillion won in the fourth quarter.
However, based on the current share price, Samsung Electronics' forward price-to-earnings (PER) ratio for 2026 stands at only about 4.6 times. Considering that Samsung Electronics was valued at a PER of 8 to 10 times during past memory super-cycles, analysts note that despite the sharp price rally, valuation burdens have actually eased.
SK hynix has also continued its record-high streak. On the day, SK hynix shares surpassed 1.5 million won, pushing its market capitalization beyond 1,000 trillion won.
The securities industry projects SK hynix's 2026 operating profit at 257 trillion won and net profit at 203 trillion won. Based on these figures, the forward PER comes to about 5 times. Given that rival Micron Technology trades at a forward PER of around 10 times, analysts say SK hynix remains in undervalued territory.
The overall KOSPI valuation is also considered still low. According to Daishin Securities, the current average PER of KOSPI-listed companies is 7.15 times, even lower than the trough level during the COVID-19 pandemic (7.52 times). As corporate earnings growth has outpaced share price gains, the PER has actually declined despite the index's rapid ascent.
Daishin Securities analyzed that applying a PER of 8 times to the KOSPI would put the index at 7,730, a PER of 9 times at 8,700, and a PER of 10 times at 9,660.
Forecasts that the KOSPI could break above 8,000 within this year are also emerging one after another.
Shinhan Securities set its projected KOSPI band for this year at 6,000 to 8,600. The firm expects the pace of gains to accelerate if earnings for the semiconductor sector are revised further upward and non-semiconductor sectors also gain momentum.
Elsewhere, Hana Securities projected the KOSPI's upper range at 8,470, and Samsung Securities at 8,400. Among foreign houses, JPMorgan set its target at 8,500, while Goldman Sachs and Nomura Securities each projected around 8,000.
