Samsung Electronics shares surged by as much as 4.8% on Tuesday, buoyed by the company’s forecast of record quarterly profits driven by robust demand for artificial intelligence chips. The tech giant’s preliminary earnings guidance for the January-March quarter estimates an operating profit of 57.2 trillion won ($37.8 billion), a staggering increase from 6.69 trillion won a year prior. This projection would mark a quarterly record, significantly surpassing analyst expectations of 42.3 trillion won.

The anticipated profit surge is largely attributed to Samsung’s memory chip division, which has seen explosive demand for high-bandwidth memory chips essential for AI applications. This segment accounted for 39% of the company’s revenues and a substantial 57% of its operating profits in 2025. The heightened demand has led to shortages in the memory market, propelling prices and volumes for memory manufacturers like Samsung.

Market professionals should closely monitor Samsung’s upcoming full earnings report later this month, as it could provide further insights into the sustainability of this growth trajectory and its implications for the broader semiconductor sector.

Source: cnbc.com