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Samsung shares recover from crash following Note 7 withdrawal | Canindia News

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Samsung shares recover from crash following Note 7 withdrawal

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CanIndia New Wire Service 0 comments

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Seoul, Oct 13 (IANS) Shares of South Korean tech giant Samsung Electronics recovered at the Seoul stock exchange on Thursday after crashing earlier in the week.

The stocks of the company had crashed on Tuesday after volatility Monday, following the withdrawal of its smartphone Galaxy Note 7 for their persistent problem of spontaneous combustion, EFE news reported.

The values of the company on Thursday listed a 1.30 per cent boost at the opening of trading and at 11.33 a.m., they were bought for $1,378, 1.63 per cent more.

On Tuesday, when Samsung announced that it froze the sale of its high-end phablet, its shares sank 8.04 per cent – marking its greatest stock market fall since 2008 – and after it announced a permanent halt in production of the phablet, its shares lost 0.65 per cent on Wednesday.

Samsung also announced a substantial reduction in its forecast results for the third quarter, after taking into account the amount it will have to return its customers (each phablet costs $882) for the more than two million handsets sold.

Samsung lowered its turnover forecast for July-September to around $42 billion, 4.09 per cent less than its previous forecast and 8.94 per cent less than what it collected in the third quarter of 2015.

This, however, did not seem to have affected investors, who bid Thursday for some shares, representing approximately a quarter of the total capitalisation of the stock market, and which are now a steal as compared to the prices following the launch of the Note 7.

–IANS

ksk

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