First Eagle Global Equity ETF on Samsung Electronics Co., Ltd.
Thesis
Samsung Electronics has a dominant position in memory semiconductors and benefited from strong DRAM and NAND pricing during the quarter. First Eagle expects persistent hyperscaler demand to support the memory market. Long-term supply agreements add visibility to the earnings outlook. The fund therefore sees a basis for sustained robust profitability.
“Persistent demand from hyperscalers and long-term supply agreements underpin market expectations for sustained robust profitability.”
Key risks
- The commentary says the current growth rate of hyperscaler AI infrastructure spending appears difficult to sustain.