Jenith
Well-known Member
- Joined
- Mar 25, 2019
- Posts
- 49,294
- Likes
- 117
It's hard to miss the influence of Samsung Electronics in South Korea. The company is a leading supplier of many products and it's also a highly preferred employment destination, particularly for new graduates.
Naturally, you'd find many people will to hitch their ride to this wagon in hopes of benefiting from its future growth. While Samsung Electronics' stock has struggled recently, there are still nearly 400,000 young investors under the age of 20 in South Korea that hold its stock.
The stock has been under pressure recently. It hit a 4-year low late last year and has declined by 33% from recent highs. It trades in the 50,000 won or $30 range currently, while it was nearly double that just last year.
Despite that, a big chunk of young investors and their parents bet that Samsung Electronics will eventually be able to deliver impressive returns. Information from the Korea Deposit and Settlement Service reveals that 394,886 shareholders of Samsung Electronics are under the age of 20, accounting for 7.75% of all Samsung Electronics shareholders. They own 19,402,718 shares worth over $1.1 billion.
Each shareholder under the age of 20 owns 49 shares on average. South Korea doesn't impose an age limit on stock trading but minors have to open a brokerage account with the consent of their parents or legal representatives. Parents also tend to buy stocks for their children as a gift or to impart financial literacy.
There has been a remarkable increase of young shareholders in Samsung Electronics. The number stood at just 18,301 at the end of 2019 and that has now grown 22x to hit nearly 400,000. It's still a ways from the peak of 431,642 young shareholders hit at the end of 2022 as the stock has been under pressure since then, but Samsung's efforts to increase shareholder returns through buybacks and higher dividends seem to have stabilized things a bit.
Nevertheless, this represents sustained confidence among investors in the future of Samsung Electronics. One of the easiest ways to make money in the stock market is to buy shares of solid companies that have significant future growth potential, and then hold on to them for many years.
Investors who bought into Samsung Electronics with this mindset in 2005 have seen the stock return over 450% based on current prices. The young investors buying into the company now would hope to see similar or higher returns in the next 20 years.
The post Samsung’s surprise fans? 400K young investors embrace its stock appeared first on imeisource.
Naturally, you'd find many people will to hitch their ride to this wagon in hopes of benefiting from its future growth. While Samsung Electronics' stock has struggled recently, there are still nearly 400,000 young investors under the age of 20 in South Korea that hold its stock.
Young Korean investors are hitching their wagon to Samsung Electronics
The stock has been under pressure recently. It hit a 4-year low late last year and has declined by 33% from recent highs. It trades in the 50,000 won or $30 range currently, while it was nearly double that just last year.
Despite that, a big chunk of young investors and their parents bet that Samsung Electronics will eventually be able to deliver impressive returns. Information from the Korea Deposit and Settlement Service reveals that 394,886 shareholders of Samsung Electronics are under the age of 20, accounting for 7.75% of all Samsung Electronics shareholders. They own 19,402,718 shares worth over $1.1 billion.
Each shareholder under the age of 20 owns 49 shares on average. South Korea doesn't impose an age limit on stock trading but minors have to open a brokerage account with the consent of their parents or legal representatives. Parents also tend to buy stocks for their children as a gift or to impart financial literacy.
There has been a remarkable increase of young shareholders in Samsung Electronics. The number stood at just 18,301 at the end of 2019 and that has now grown 22x to hit nearly 400,000. It's still a ways from the peak of 431,642 young shareholders hit at the end of 2022 as the stock has been under pressure since then, but Samsung's efforts to increase shareholder returns through buybacks and higher dividends seem to have stabilized things a bit.
Nevertheless, this represents sustained confidence among investors in the future of Samsung Electronics. One of the easiest ways to make money in the stock market is to buy shares of solid companies that have significant future growth potential, and then hold on to them for many years.
Investors who bought into Samsung Electronics with this mindset in 2005 have seen the stock return over 450% based on current prices. The young investors buying into the company now would hope to see similar or higher returns in the next 20 years.
The post Samsung’s surprise fans? 400K young investors embrace its stock appeared first on imeisource.