KOSPI Up About 80% YTD as Forward P/E Falls to 6.4 on Faster Earnings Upgrades

South Korea's benchmark KOSPI has risen about 80% year to date and repeatedly hit record highs, while its valuation has dropped to a historically low level as analysts raised earnings forecasts even faster, according to 36Kr. The index's forward price-to-earnings ratio stands at 6.4, below levels seen during the 2008 global financial crisis, after sharp profit gains at memory-chip giants Samsung Electronics and SK Hynix. The market has also seen heavy selling amid renewed doubts about the artificial intelligence rally, further pressuring valuations. Francis Tan, Asia chief strategist at Amundi Wealth Management Singapore, said whether it is a good time to buy depends on investors' portfolio allocations, adding that those with low exposure could consider building positions given what he described as solid earnings fundamentals and expectations for continued strong profits.