Goldman cuts Kospi 12-month target 25% as AI stock rout deepens
What's new: The bank still sees more than 60% upside from current levels even after lowering its target to 9,000 from 12,000.
Goldman Sachs cut its 12-month target for South Korea’s Kospi by 25% to 9,000, arguing the market is repricing the artificial intelligence boom with more conservative assumptions after a steep selloff. The benchmark has fallen more than 35% from its June peak as investors questioned heavy infrastructure spending, rising financing costs and whether returns in the sector will hold up. Samsung Electronics and SK Hynix have made the Kospi a proxy for the AI trade, and the pressure has spread across the broader market. Goldman said the index now looks deeply undervalued, with the revised target still implying more than 60% upside. Bloomberg data cited in the report showed the Kospi’s forward price-to-earnings ratio has dropped to about four.