Samsung Electronics (SSNLF) is at number 7 in our list of the most popular stocks (link to part 2) that emerging market funds (EEM) (VWO) are invested in. The company was among the top 10 holdings of 4 out of 10 funds that were part of our analysis. These are:
Among institutional investors, these are the funds that are invested into the SSNLF ADR currently:
Chip business soared 77% YoY in 4Q16
Samsung Electronics is a South Korean multinational electronics company headquartered in Suwon, South Korea. It is the world’s second largest information technology company by revenue, after Apple. It is world’s top manufacturer of smartphones, memory chips and flat-screen televisions.
Trading under the ADR ticker SSNLF on the NYSE’s OTC Market, the company has the market capitalization of $211.02 billion. On Tuesday, January 24, the company said in a statement that it expects profit growth in 2017 despite challenges arising from political uncertainty. The company is counting on its memory chip business for which it expects a “stable demand” in 2017.
For the fourth quarter last year, the company’s operating profit jumped 50%; it’s highest in over three years. Earnings from the chips business soared 77% year-on-year in 4Q16.The mobile business, however, continues to struggle with stiff competition. Moreover, there looms the risk of a leadership vacuum over the company.
Analyst recommendations: BUY
The stock currently has 89.1% BUY recommendations from analysts, against 8.7% HOLD recommendations, and 2.2% SELL recommendations. Consensus 12-month target price for the stock stands at $1,927.02. The stock is currently trading at $1,500.