Samsung SDI sheds 10.48 trillion won in three sessions

By Elena Vasquez

Samsung SDI (006400) lost 10.48 trillion won in market value across three trading sessions, leaving its shares below the close that preceded their U.S. midterm-election rally. The reversal erased an 11.57% jump as uncertainty grew over whether expected clean-energy policy support could translate into earnings.

How far did the sell-off go?

On the 10th, Korea Exchange data showed Samsung SDI closed the previous regular session at 415,000 won, down 53,000 won, or 11.32%. The stock had risen 11.57% to 545,000 won on the 4th, when the U.S. midterm results were reported, before falling 6.61% on the 5th and 8.06% on the 6th.

The cumulative decline over three sessions reached 23.85%. Market capitalization fell to 33.44 trillion won from 43.92 trillion won. At 415,000 won, the shares traded 15.05% below their 488,500-won close on the 3rd, giving back the entire rally and finishing lower.

Why do brokerages still see a path forward?

Kiwoom Securities maintained its buy rating and 670,000-won target price in a report released late last month. Analyst Kwon Jun-soo cited expanded ESS production in the United States, additional orders, seasonal factors, and the scheduled start of all-solid-state battery mass production in the second half of 2027.

He said: “We believe momentum for share price gains will emerge early next year.” The cited factors give traders operating markers beyond the election-driven price move.

Who drove the reversal?

Foreign investors sold a net 86.4 billion won of Samsung SDI shares in the regular session on the 9th; institutions sold a net 69.3 billion won. Combined selling reached about 155.7 billion won. Samsung SDI ranked first in net institutional selling and second in net foreign selling on the KOSPI. That concentration shows how quickly the post-election trade unwound.

Analysts linked the decline to foreign and institutional exits while the policy shift’s effectiveness remained unclear. Supply pressure after the run-up also weighed on sentiment. Battery stocks had climbed on expectations that clean-energy support would strengthen after the U.S. Democratic Party’s midterm victory.

Large-cap battery peers moved in the same direction in the previous session, with LG Energy Solution (373220) falling 5.78%. Its decline was smaller than Samsung SDI’s 11.32% drop, but the synchronized move showed that the sell-off reached across the sector rather than isolating one issuer.

What underpins the operating case?

Samsung SDI reported third-quarter revenue of 4.69 trillion won and operating profit of 407.8 billion won. Operating profit reversed a year-earlier loss and reached its highest level since the third quarter of 2023. Expanded sales of energy storage systems for artificial intelligence data centers, along with battery backup units, contributed to the improvement.

iM Securities raised its view on the secondary battery sector to overweight from neutral in the previous session and named Samsung SDI its top pick. The brokerage argued that regulations raising data-center operators’ power-infrastructure costs could increase demand for proprietary generation facilities built with ESS.

iM also said concerns about delays in data-center investment alone do not justify lowering its medium- to long-term growth outlook for North America’s ESS market. For traders, the near-term test is whether that operating evidence can absorb further policy-driven selling. Samsung SDI carries a lower share price, but the earnings benefit of the expected policy shift remains unproven.