Goldman Sachs raises South Korea's stock index target and is optimistic about profit growth prospects.

Goldman Sachs has raised its target for the South Korean Kospi index from 9,000 points to 12,000 points, stating that as long as corporate profits continue strong growth, the market will receive good support. Goldman Sachs strategists pointed out in their report that this upward adjustment was driven by "higher profits, as well as a conservative 8 times expected price-earnings ratio." Goldman Sachs has also raised its profit growth forecasts for 2026 and 2027 to 320% and 35% respectively, and stated that South Korea is the strongest market in the region in terms of profit performance. However, Goldman Sachs also pointed out, "We recognize that the South Korean stock market has risen by more than double this year, with Samsung Electronics and SK Hynix currently accounting for over half of the total market value of the South Korean stock market, retail speculative activity is heating up, and the market is prone to pullbacks."