Author Topic: SSNLF - Samsung Electronics  (Read 20940 times)

valueInv

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fareastwarriors

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Re: SSNLF - Samsung Electronics
« Reply #11 on: January 07, 2014, 11:20:15 AM »
Samsung: Unpleasant surprise

http://www.ft.com/intl/cms/s/3/9d4a4080-7746-11e3-a253-00144feabdc0.html#axzz2peR8ivRx




OK, whodunnit? Was it the won, with its export-damping strength? Has the world stopped buying new smartphones? Was last year’s turnround in memory chips really just another false dawn in a historically disastrous industry? Samsung Electronics presumably has a good idea why it just missed forecasts by almost a fifth, but it is not saying. This is frustrating.




 
Samsung is the Asian tech giant that everyone loves, or at least they did. A higher proportion of analysts rate it a buy – 90 per cent, according to Bloomberg – than do those who cover Apple, Google, Facebook or any similarly sized Asian company. It also trades on just seven times its expected earnings, half the level of Apple. In Asia, it trumps only the poor ratings of China’s state-owned megabanks.
 
That low valuation is partly due a discount attached to Samsung’s being part of a family-controlled chaebol and, more prosaically, to the fact that its one-fifth weighting in South Korea’s benchmark Kospi index means that single-stock limits imposed on many fund managers force them to be underweight the company. Nomura’s expectation, expressed last month, that Samsung would move in 2014 towards becoming a value stock with still-healthy growth and higher payouts is typical of the market view.

That makes Tuesday’s short statement, which forecast Won 8.3tn fourth-quarter operating profit, the more disappointing. Expectations were for something nearer Won10tn, roughly in line with the third quarter, as better chip profits compensated for slowing premium smartphone sales. The vast majority of Samsung’s sales are overseas so the won will probably shoulder much of the blame, alongside some one-offs. All will be revealed later this month at its full presentation. In the meantime, Samsung’s fans can chalk up unhelpfully brief disclosures as another reason why their darling trades at such a discount.

constructive

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Re: SSNLF - Samsung Electronics
« Reply #12 on: January 07, 2014, 12:25:51 PM »
Anyone run into any issues purchasing this? I've heard US retail investors may have difficulties trading Korean securities.

SSNLF isn't available through IB or Fidelity, at least without an expensive broker assisted trade. Can anyone confirm other brokers that carry it? Is it DTC eligible? I haven't had much experience with unsponsored ADRs.

yitech

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Re: SSNLF - Samsung Electronics
« Reply #13 on: January 07, 2014, 01:23:14 PM »
Anyone run into any issues purchasing this? I've heard US retail investors may have difficulties trading Korean securities.

SSNLF isn't available through IB or Fidelity, at least without an expensive broker assisted trade. Can anyone confirm other brokers that carry it? Is it DTC eligible? I haven't had much experience with unsponsored ADRs.

GDRs are trading in London Exchange (LSEIOB1) through IB: SMSD (preferred) and SMSN (common). Preferred is currently trading at around 3/4 of common.
« Last Edit: January 07, 2014, 01:26:51 PM by yitech »

constructive

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Re: SSNLF - Samsung Electronics
« Reply #14 on: January 07, 2014, 02:01:52 PM »
Anyone run into any issues purchasing this? I've heard US retail investors may have difficulties trading Korean securities.

SSNLF isn't available through IB or Fidelity, at least without an expensive broker assisted trade. Can anyone confirm other brokers that carry it? Is it DTC eligible? I haven't had much experience with unsponsored ADRs.

GDRs are trading in London Exchange (LSEIOB1) through IB: SMSD (preferred) and SMSN (common). Preferred is currently trading at around 3/4 of common.

Yes, but according to Samsung, JPMorgan and other sources, US retail investors aren't allowed to buy GDRs.

yitech

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Re: SSNLF - Samsung Electronics
« Reply #15 on: January 07, 2014, 07:58:43 PM »
Anyone run into any issues purchasing this? I've heard US retail investors may have difficulties trading Korean securities.

SSNLF isn't available through IB or Fidelity, at least without an expensive broker assisted trade. Can anyone confirm other brokers that carry it? Is it DTC eligible? I haven't had much experience with unsponsored ADRs.

GDRs are trading in London Exchange (LSEIOB1) through IB: SMSD (preferred) and SMSN (common). Preferred is currently trading at around 3/4 of common.

Yes, but according to Samsung, JPMorgan and other sources, US retail investors aren't allowed to buy GDRs.

OK. I am not based in US so wasn't aware of that.

Global Depositary Receipts (GDRs): A Primer
https://wwss.citissb.com/adr/common/file.aspx?idf=1525

"GDRs are usually offered to institutional investors through a private offering, in reliance on exemptions from registration under the Securities Act of 1933.These  exemptions are Regulation S (Reg. S) for non-U.S. investors, and Rule 144A for U.S. investors that are Qualified Institutional Buyers (QIBs)."
« Last Edit: January 07, 2014, 08:22:22 PM by yitech »

DCG

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Re: SSNLF - Samsung Electronics
« Reply #16 on: January 08, 2014, 07:24:39 AM »
I like the comment on Wired regarding Samsung pushing their curved TVs at CES: "People that live in geodesic domes are so stoked for curved UHD TVs".

fareastwarriors

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Re: SSNLF - Samsung Electronics
« Reply #17 on: January 08, 2014, 11:47:06 PM »

fareastwarriors

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Re: SSNLF - Samsung Electronics
« Reply #18 on: January 17, 2014, 11:18:49 AM »

fareastwarriors

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Re: SSNLF - Samsung Electronics
« Reply #19 on: January 23, 2014, 08:35:25 PM »