Samsung Q2 Results and Analyst Outlook
Jordan Klein, Mizuho’s TMT sector specialist, noted that Samsung’s preliminary second‑quarter results showed revenue below expectations, but operating profit was a strong beat when one‑time bonus expenses are excluded. He estimated that the implied memory operating margins exceed 80%, and that the operating profit generated in this single quarter surpasses the total reported by Samsung over the previous three years combined.
Klein attributed the revenue shortfall primarily to weaker sales in mobile devices, televisions and LCD panels, rather than to the memory business. He emphasized that the critical factor for the stock will be Samsung’s comments and outlook for the memory segment and the broader industry into the second half of fiscal 2026, which are due by the end of July.
Regarding pricing trends, Klein cited reports indicating that third‑quarter DRAM and NAND pricing are very strong relative to Q2 levels, with some forecasts projecting NAND prices to rise 35‑40% quarter‑on‑quarter. He added that upcoming earnings releases from TSMC and ASML in the following week are expected to have a greater influence on semiconductor price action than Samsung’s preliminary figures.
On the CPU front, Klein referenced a bullish server‑CPU forecast from Asian hardware analyst Dale Gai, which makes him more optimistic about Intel and the overall CPU semiconductor call, as well as about DRAM suppliers. He also sees the recent dip in AMD shares as a buying opportunity ahead of the company’s AI event scheduled for July 23, and he finds the current valuations of both Intel and AMD to be very attractive.