Wall Street Short-Seller Known as 'Assassin' Says Samsung, SK Hynix Are Not Undervalued

Fahmi Quadir, the founder of Safkhet Sentinel who earned the nickname 'assassin' on New York's Wall Street as a short seller, has stated that Samsung Electronics and SK Hynix are not undervalued.

In an interview with a domestic media outlet, Quadir stated that the two companies are the most thoroughly analyzed and most efficiently priced stocks in South Korea.

In other words, they are the stocks that reflect the Korea discount the least in the South Korean stock market.

Quadir argued that the current stock prices of Samsung Electronics and SK Hynix are neither overvalued nor can they be considered undervalued by any means.

She pointed out that the reason the two companies experienced sharper corrections recently compared to global semiconductor peers like Micron and TSMC is due to SK Hynix's Nasdaq ADR listing and the oversight that the semiconductor sector is a cyclical industry.

Previously, The Wall Street Journal reported that "she, who has focused on short-selling strategies betting on stock price declines, has chosen South Korea as the stage for her first-ever long strategy, buying stocks that are expected to rise."

Quadir cited the 'Korea discount' as the reason for entering the South Korean market, stating, "I will apply my short-selling experience directly to investing in South Korean companies."

She explained that she is looking for companies with a price-to-book ratio (PBR) of under 1 that continuously generate cash, possess abundant net cash and tangible assets, and hold a large amount of treasury shares, while also keeping an eye on companies where succession environments are changing due to inheritance tax policy shifts.

Quadir also noted that while investing in small and mid-cap stocks is risky, it presents opportunities, believing that variables such as transactions with controlling shareholders and specially related parties in small and mid-cap stocks can be overcome through thorough research and analysis.

Quadir is an investor on Wall Street who tenaciously attacks companies by digging into weaknesses such as corruption, accounting fraud, and scams, having generated massive profits by short-selling global pharmaceutical firm Valeant and German fintech firm Wirecard.

In the second half of this year, she will establish her first overseas office in Seoul, expanding into South Korea.

(Reported by Jung Da-eun | Video by Hong Jin-young | Graphics by Yang Hye-min | Produced by SBS Digital News)
※ Please note: This article was translated by AI and may contain errors.