The stock's performance reflects a renewed confidence in Samsung’s ability to reclaim its dominance in the high-stakes AI memory market. After lagging behind competitors like SK Hynix and Micron Technology in recent quarters, Samsung announced last week that it has commenced mass production and shipments of its HBM4 chips. These next-generation components are critical for AI processors, offering significantly faster data transfer speeds—reaching up to 13 Gbps—compared to the previous HBM3E standard.

The AI Pricing Premium

Market analysts suggest Samsung is positioning its HBM4 as a premium product. According to a report from Chosun Ilbo, the company is targeting a price of approximately $700 per unit, a significant jump from the $550 price point previously set by SK Hynix for its Nvidia contracts. Analysts at Nomura expect Samsung to command a 30% to 40% price premium for the new hardware, citing its superior performance metrics and early market entry.

The broader South Korean market also benefited from the tech giant's momentum, with the benchmark Kospi index closing 3.1% higher as trading resumed after a three-day holiday. Samsung’s role as a primary supplier for Nvidia remains a central catalyst, particularly following Nvidia’s recent AI chip deal with Meta Platforms.

In response to the production milestones, Nomura raised its target price for Samsung by 32% to 290,000 won. The brokerage also revised its first-quarter operating profit forecast for Samsung’s semiconductor division, projecting a surge to 44 trillion won, up from an earlier estimate of 33 trillion won. While Samsung declined to comment on specific pricing reports, the market reaction underscores the high stakes of the ongoing AI hardware race.