Samsung Electronics shares climbed as much as 2% on Thursday to reach a record intraday high of 96,900 won, surpassing the previous peak of 96,800 won set in January 2021. This advance underscores mounting investor optimism in the semiconductor industry as global AI deployment accelerates. In 2025 alone, the stock is up roughly 80%, highlighting renewed faith in Samsung’s memory business and chip roadmap.

Drivers Behind the Surge: AI Demand and Memory Prices

The fundamental impetus for Samsung’s stock surge lies in renewed strength across its memory chip divisions. Analysts expect the company to post its highest third-quarter operating profit since 2022, with projections in the ballpark of 12.1 trillion won (≈ $8.5 billion), a year-on-year rise of over 30%. One of the key contributors is an estimated 171.8% increase in DRAM prices, reflecting tighter supply conditions and aggressive inventory restocking by AI infrastructure players.

While Samsung has faced challenges in qualifying its advanced HBM3E chips for Nvidia, its conventional memory unit has plugged the gap. Rising shipments and improved pricing for DRAM and NAND have provided enough cushion to offset near-term volume mismatches. The AI boom is reshaping expectations for memory vendors, and Samsung is riding that wave.

Market Reaction and Broader Semiconductor Impact

Samsung’s stock rally has had ripple effects across Korean markets. The KOSPI Composite Index simultaneously touched fresh highs, fueled by heavyweights like Samsung and SK Hynix benefitting from strong semiconductor sentiment. Foreign investors have been net buyers of Korean equities, interpreting the strength in semiconductors as a structural shift rather than a cyclical bounce.

Still, the broader sector faces headwinds. Samsung’s restricted access to Chinese markets under U.S. export controls limits upside potential in one of the largest end markets for AI servers. Moreover, export constraints on rare earths and geopolitical tensions could dampen future momentum. Competitors like SK Hynix and Micron are also pushing hard in advanced memory, making the competitive environment more intense.

Strategic Implications and Risks Ahead

Samsung’s strong projection for Q3 acts as a validation of its aggressive push into AI-related infrastructure, positioning it well to reclaim leadership in memory and chip manufacturing. Recent strategic wins, such as a $16.5 billion foundry deal with Tesla, have bolstered investor sentiment and hinted at the company’s broader ambitions in custom AI silicon.

But challenges remain. Execution risk looms in scaling advanced memory, managing capital intensity, and navigating U.S.–China tech tensions. Maintaining margins when AI demand ebbs or capacity imbalances appear will test Samsung’s ability to deliver consistent results. Analysts and investors will be watching not just revenue but gross margins, memory pricing trends, supply chain stability, and any indication of policy friction that could affect exports.

Looking ahead, key indicators to monitor include Samsung’s formal Q3 earnings release, especially guidance on memory pricing and shipment volumes, its HBM4 roadmap, and foundry traction in AI chip contracts. If Samsung can sustain momentum across those vectors, the record-high valuation may just mark the beginning of a broader re-rating.