PEAK SAMSUNG? Shares slide ahead of BEELLLIONS in profit
Stock drops 20 per cent in months despite record-breaking quarter boast
Shares in Samsung Electronics continued to slide today after the chaebol's latest estimated earnings failed to impress investors on Friday.
Although Sammy's flagship subsidiary - which makes tellies, chips, phones and more - is once again expecting record-breaking quarterly results, its projected £5.4bn ($8bn) operating profit is just not big enough to assuage shareholders' fears: the company's mobile growth is slowing and the stock fell 3.24 per cent to 1.226m won a piece (£715, $1,070).
The shares have lost a total of 20 per cent since a high at the end of May of 1.554m won, as some analysts suggest that the latest flagship smartphone, the Galaxy S4, isn't flying off shelves as fast as they'd like and the company is encountering more competition at the low end of mobes from Chinese firms like Huawei and ZTE.
Samsung's change of fortunes is mirroring its main mobe rival Apple's. The fruity firm is also still growing well, but investors have become wary that both companies are in danger of slowing their galloping pace, which is heavily reliant on mobile device sales. ®