NPS Stock Valuation Plunges 182 Trillion Won in 100 Days... Samsung, SK hynix Bear the Brunt

Q3 stock valuation: 333 trillion 533 billion won
Down 35.3% from end-June; biggest loss on record
Samsung Electronics and SK hynix post combined valuation losses of 131 trillion 97.1 billion won

The sharp decline in the domestic stock market has cut the valuation of the National Pension Service’s domestic stock holdings by more than 182 trillion won in roughly 100 days. Samsung Electronics and SK hynix accounted for more than 70% of the total losses. The NPS was expected to act as a buffer by absorbing foreign investors’ selling during the downturn, but it too suffered heavy losses.

According to financial data provider FnGuide on Oct. 18, the value of the NPS’s stock holdings in 287 listed companies in which it had disclosed a stake of 5% or more stood at 333 trillion 533 billion won as of Oct. 15. That was a decline of 182 trillion 396.3 billion won, or 35.3%, from 515 trillion 929.3 billion won at the end of June, in about three and a half months.

The NPS’s stock valuation fell on a quarterly basis for the first time in seven quarters, since the fourth quarter of 2024. The loss was also among the largest on record, wiping out a substantial portion of the large gains it had made through the second quarter in just one quarter.

By company, the declines in the valuations of Samsung Electronics and SK hynix stood out. The NPS recorded valuation losses of 56 trillion 871 billion won on Samsung Electronics and 74 trillion 226.1 billion won on SK hynix. Combined losses on the two stocks totaled 131 trillion 97.1 billion won, accounting for 71.8% of the overall losses. Over the same period, Samsung Electronics’ share price fell from 334,000 won to 210,000 won, while SK hynix’s dropped from 2,650,000 won to 1,262,000 won.

NPS National Pension Service. Yonhap News.

The NPS also recorded valuation losses of 10 trillion 869.8 billion won on SK Square and 7 trillion 591.4 billion won on Samsung Electro-Mechanics. In all, the value of its holdings declined in 176 of the 287 stocks.

By contrast, SK Innovation posted a valuation gain of 904.1 billion won, helped by a rise in its share price and an increase in the NPS’s stake. S-Oil (710.7 billion won), LG Energy Solution (580.8 billion won) and Hanwha Solutions (434.7 billion won) also recorded valuation gains.

The NPS also adjusted its holdings. The number of stocks in which it held a stake of 5% or more rose to 274 as of Oct. 15, from 270 at the end of June. During this period, 17 stocks, including Xi S&D (9.31%), PharmaResearch (7.94%) and DN Automotive (7.09%), were newly added, while the NPS’s stakes in 13 stocks, including LG Display, fell below 5%.

The NPS increased its stake in 84 stocks and reduced it in 82. Its stake in GS Engineering & Construction rose from 7.82% to 12.88%, while its stake in Hyundai Marine & Fire Insurance grew from 9.42% to 12.37%. By contrast, its stake in Paradise fell from 12.33% to 8.39%, and its stake in Samsung Biologics declined from 10.27% to 6.56%.

Buying and selling trends diverged among KOSDAQ-listed stocks. Of the 84 stocks in which the NPS increased its stake, seven were KOSDAQ-listed companies; of the 82 in which it reduced its stake, 21 were KOSDAQ-listed. Its stakes in Daejoo Electronic Materials and Cosmecca Korea declined, while Duksan Hi Metal and OliX were no longer subject to disclosures for holdings of 5% or more. This suggests that the NPS adjusted some of its holdings in the third quarter after investing in KOSDAQ stocks in the first half of the year.

This content was produced with the assistance of AI translation services.