Samsung Electronics shares fell more than 8% on Monday after investors reacted negatively to the company’s $80 billion shareholder return plan, while profit-taking also weighed on the stock following a sharp recent rally.
The decline made Samsung the biggest drag on South Korea’s KOSPI index, which fell more than 1%. Rival SK Hynix shares edged higher.
Samsung said on Friday that it plans to return between $65 billion and $80 billion to shareholders this year, including about $21.8 billion in cash dividends during the current quarter.
However, the total was broadly in line with figures reported ahead of the announcement, limiting its impact on investors. Samsung also announced $21.8 billion in immediate share buybacks, below the $29.1 billion buyback unveiled by SK Hynix earlier in August.
SK Hynix has also pledged to allocate more than 50% of its free cash flow generated between 2025 and 2027 to shareholder returns, while Samsung reiterated its commitment to returning 50%.
Investors were further disappointed by Samsung’s lack of details on how the remaining shareholder returns, beyond the $21.8 billion buyback, would be distributed.
The stock had also become vulnerable to profit-taking after rising sharply during the two trading sessions before Friday’s announcement.
Despite Monday’s decline, Samsung shares remain about 100% higher so far in 2026, reflecting strong investor demand for companies benefiting from the artificial intelligence boom.
Markets have increasingly focused on Samsung’s plans to return cash to shareholders following a surge in profits driven by demand for memory chips used in AI infrastructure. Samsung and SK Hynix have emerged as major beneficiaries of the AI investment cycle as technology companies expand spending on advanced computing systems and high-performance memory.
