Korea Monthly Wrap: June 2026: Fundamental resilience through technical volatility

研报英文原文证据摘录

Korea Monthly Wrap: June 2026: Fundamental resilience through technical volatility

Mixo Das AC Global Markets Strategy

(852) 2800-0511 02 July 2026 J P M O R G A N

mixo.das@jpmorgan.com

Key Sector/Company Updates

Financials: Investor meetings JPM Korea Bank analysts recently revealed strong

interest in diversifying away from AI-driven stocks amid heightened volatility. Many

investors support the ROE-led re-rating thesis for Korean financial groups (FGs), but

are focused on near-term catalysts and risks, including fee income durability, NIM

sensitivity to rates, shareholder return potential, and asset quality as rates rise. Investor

behavior is increasingly catalyst-driven, reflecting higher opportunity costs in a fast-

moving market. With the upcoming 2Q earnings season expected to deliver strong

results and sizable buyback/cancellation programs, Korean FGs are seen as attractive

buys. These groups are trading at less than 1.0x P/B, with medium-term ROE expected

to rise to 11–12% (from 9–10% currently), supported by resilient fee and interest

income. Despite some concerns about potential tax changes and loan demand, large

banking groups with diversified non-bank portfolios and strong capital buffers remain

favored for accumulation.

Samsung Fire & Marine Insurance: JPM upgraded Samsung F&M to Overweight and

raised its price target to W800K (up from W500K), implying 12.5x FY27E P/E. Despite

strong fundamentals, high capital ratios (solvency: 270%, core capital: 185%), and AA-/

A++ ratings, the stock has lagged the KOSPI, reflecting shareholder returns below its

business scale. Mandatory value-up disclosures and the upcoming AGM in Mar-27 are

expected catalysts for addressing balance sheet inefficiency, with potential for full