PANews October 25 News, according to Jin10, strategists at Goldman Sachs Group lowered the target for Korea's KOSPI index by 25%. They had raised the index's target multiple times this year, but have now opted to lower it as concerns over AI-related trading have intensified. The analyst team led by Timothy Moe lowered the KOSPI index's 12-month target from 12,000 points to 9,000 points. They noted that, given the benchmark index has fallen more than June from its high, valuation assumptions need to become more prudent. These strategists believe the sell-off has left the Korean stock market deeply undervalued; even after the target reduction, the index still has more than 35%upside.
The target was lowered from 12000 points to 9000 points.
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The analyst team believes that concerns over AI-related trading have intensified and valuation assumptions need to be more prudent.
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The analyst team said the KOSPI index still has more than 60%upside.
AI-assisted interpretation
The following is analysis, separate from reported facts. Verify important claims independently.
A target level is an analyst's forecast of the index level over a future period. Goldman Sachs' target reduction indicates a more cautious assessment of the future performance of Korean equities, though it still believes the index may rise.
Why it matters to readers
The target reduction reflects Goldman Sachs' concerns over AI-related trading and valuations, which may affect market expectations for Korean equities.
This indicates that analysts' forecasts may change and that a target level is not a guaranteed price.
Risks and unknowns
The report did not provide a link to Goldman Sachs' original research report or announcement.
The article does not explain the target reduction 25%or the specific calculation methodology between the decline from 12000 points to 9000 points.
KOSPI Whether the index subsequently reaches 9000 points or achieves more than 60%upside remains unknown.
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Related concepts
KOSPI Index
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