Samsung's $7 Billion Stock Buyback Boosts Shares

The surprise buyback plan aims to stabilize Samsung's stock amid competition in AI chips.

Samsung Electronics announced a plan to buy back 10 trillion won ($7.2 billion) of its stock over the next year.
The company's shares surged over 7% following the announcement, marking a significant rise after a recent low.
Analysts believe the buyback could help prevent further stock price declines and potentially strengthen the founding family's control.
The buyback comes as Samsung faces challenges in the AI chip market, trailing behind competitor SK Hynix in high bandwidth memory development.
The initial phase of the buyback involves purchasing 3 trillion won of shares by February 2025, with plans for the remaining amount to be decided by the board.