AI-fueled Samsung affiliates reshape KOSPI market cap rankings

Samsung Electro-Mechanics’ plant in Suwon, Gyeonggi Province / Courtesy of Samsung Electro-Mechanics

The composition of KOSPI's largest companies has shifted markedly this year as investor enthusiasm for artificial intelligence (AI) propelled Samsung Group affiliates and semiconductor-related stocks higher, while secondary battery, shipbuilding and defense shares that dominated the market last year lost ground, according to the Korea Exchange Sunday.

Among the top 10 KOSPI companies by market capitalization, excluding preferred shares, only Samsung Electronics, SK hynix and KB Financial Group maintained their rankings from the end of last year through Friday, holding the No. 1, No. 2 and No. 10 spots, respectively.

The positions of the other seven companies changed within less than six months.

Several Samsung affiliates entered the top 10 by market capitalization this year, led by Samsung Electro-Mechanics. Benefiting from the AI boom, the company saw its share price surge 589 percent as demand and prices for multilayer ceramic capacitors, a key component used in AI servers, climbed sharply. As a result, its market capitalization expanded from about 19 trillion won ($12 billion) to 131 trillion won, lifting its ranking from 34th to fifth.

Other Samsung affiliates also posted strong gains. Samsung Life Insurance rose from 18th to seventh place after its shares jumped 162 percent, supported by the increased value of its stake in Samsung Electronics. Samsung C&T climbed five spots to eighth place as its share price gained 92 percent.

The semiconductor rally also boosted SK Square, the largest shareholder of SK hynix. The company climbed to third place from seventh as the soaring value of its stake in the memory chipmaker lifted its market capitalization.

By contrast, last year's market leaders lost momentum. LG Energy Solution fell three places to sixth, while HD Hyundai Heavy Industries slipped from sixth to ninth.

Other former heavyweights also dropped in the rankings. Samsung Biologics fell from fourth to 13th place, Hanwha Aerospace declined from eighth to 15th and Doosan Enerbility slipped from ninth to 14th, reflecting a broad shift in investor preference away from last year's winning sectors.