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Investing.com – Samsung Electronics (OTC:SSNLF) stock (KS:005930) closed 0.1% lower in Seoul Friday even as the consumer electronics giant said its third-quarter operating profit will rise 28% and sales 9% year-on-year.
The South Korean company expects third-quarter consolidated operating profit to be approximately 15.8 trillion Korean won (around $13.2 billion) and consolidated sales to be around 73 trillion Korean won.
Samsung is the world’s largest maker of DRAM and NAND chips and counts Qualcomm (NASDAQ:QCOM) and AMD (NASDAQ:AMD) among its clients.
NAND memory chips serve the data storage market and are used in digital cameras, USB flash drives and smartphones while DRAM chips are temporary storage devices used in smartphones, laptops, servers and other computing devices.
Chipmakers world over have had a historic run last one as people and corporates reacted to the pandemic and first moved to a mostly work-from-home and then to a blended work-from-office and work-from-home habit. This boosted the demand for gadgets like mobiles, laptops and printers like never before. That demand is still robust as most of the devices are now a ‘must-have,’ particularly devices like printers and scanners.
Chipmakers have announced billions of dollars in investment for production, and there are now fears that in a few quarters from now, there may be a glut of chips in the market.
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