Korean AI-related stocks including LG Electronics, Doosan Robotics, NAVER, and Hyundai Motor experienced sharp declines one month after NVIDIA CEO Jensen Huang's Korea visit on the 8th of last month. LG Electronics fell 53.4% from its peak of 392,500 won on the 2nd of last month to 182,500 won, while Doosan Robotics dropped 50.5% from 166,700 won to 82,500 won during the same period. The declines followed profit-taking after initial rallies driven by expectations of AI infrastructure and robotics collaborations announced during Huang's visit. The stocks had surged when the companies disclosed partnerships with NVIDIA covering AI data centers, autonomous driving platforms, and intelligent robotics development during the 'Korea AI Ecosystem Reception' held at Seoul's Shilla Hotel.
LG Electronics and Doosan Robotics Drop Over 50% From Peak Prices
LG Electronics recorded the largest adjustment among the stocks, falling from 392,500 won on the 2nd of last month to 182,500 won, representing a 53.4% decline from its peak. The stock has traded in the 190,000-200,000 won range recently. Doosan Robotics declined 50.5% during the same period, dropping from 166,700 won to 82,500 won. NAVER fell approximately 30% from its intraday high of 280,500 won on the 2nd of last month to 196,600 won. Hyundai Motor decreased about 33% from 750,000 won on the 1st of last month to 502,000 won.
Companies Announced AI Collaborations With NVIDIA During Huang Visit
LG Electronics disclosed plans to pursue cooperation with NVIDIA on AI data center cooling solutions and AI infrastructure during Huang's visit. Doosan Robotics announced expectations for next-generation intelligent robot development using NVIDIA's robot development platform. Hyundai Motor discussed autonomous driving, robotics, future manufacturing systems, and Saemangeum AI Valley construction plans with NVIDIA. NAVER agreed to jointly build a gigawatt-scale AI factory with NVIDIA, raising expectations for AI infrastructure business expansion.
Analysts Set Target Prices Below Current Levels for LG Electronics
According to financial information provider FnGuide, LG Electronics' highest target price stands at 350,000 won, but the brokerage consensus average target price is 176,750 won, below the current stock price level. Doosan Robotics' average target price is 145,000 won. NAVER's highest target price reaches 450,000 won with a consensus average of 329,227 won, significantly above the current price. Hyundai Motor's target price stands at 1,200,000 won with a consensus of 819,200 won. Nam Joo-shin, a researcher at DB Securities, stated that Hyundai Motor is evaluated not as a simple original equipment manufacturer (OEM) but as a manufacturing platform company, and that manufacturing AI competitiveness will ultimately lead to factory key performance indicator (KPI) improvement and revaluation.
FAQ
How much did LG Electronics stock fall after Jensen Huang's Korea visit?
LG Electronics stock fell 53.4% from its peak of 392,500 won on the 2nd of last month to 182,500 won, representing the largest decline among the AI-related Korean stocks tracked during this period.
What AI collaborations did Korean companies announce with NVIDIA?
LG Electronics announced AI data center cooling solution cooperation, Doosan Robotics disclosed plans for intelligent robot development using NVIDIA's platform, Hyundai Motor discussed autonomous driving and manufacturing systems, and NAVER agreed to jointly build a gigawatt-scale AI factory with NVIDIA.
