[SAMSUNG RALLY] Samsung’s stock price target raised to W2m

[THE INVESTOR] Analysts raised Samsung Electronics’ stock price target to a maximum 2 million won (US$1,800) per share after the shares closed at an all-time high Aug. 18.

On the day, the price soared to a record 1.64 million won, up 4.73 percent from the day before. The previous record was 1.57 million won, set Jan. 2, 2013.

Analysts said the company’s upbeat outlook on smartphone and chip sales will continue to elevate the shares.

Expectations are growing for the latest smartphone Galaxy Note 7, which is to be launched Aug. 19. Preorders have exceeded 400,000 units in Korea alone. 

“It was the mobile business division that helped the price hit a record back in 2013. Expectations are also high this year,” said Soh Hyun-cheol, a researcher at Shinhan Investment.

He predicted the price could surge to some 2 million won, pinning high hopes on the company’s still nascent but lucrative automotive business as well.

Uh Kyu-jin, an analyst at eBest Securities, also raised the target price to 2 million won, citing parts sales such as memory chips and organic light-emitting diode panels for the rest of the year.

By Lee Ji-yoon (jylee@heraldcorp.com)