Samsung is one of the largest companies globally, and they are currently worth over $200 billion. They have a lot of competition from other companies who want to take away their market share. This article will detail what strategies Samsung has taken so far with regards to their stock price and what plans they have for the company.
Samsung has had a rough time in the market over the last couple of years. Their stock price plummeted after they were caught using duplicitous strategies with their older products, but it seems like they are on track to recovery.
One area where Samsung increased its value is in semiconductors for mobile devices and digital home appliances. With this sector increasing by almost 20% year-over-year, this shows promise that Samsung can bounce back from any wrongdoing they might have done previously.
The biggest competitor for Smartphone chips will be Taiwanese company TSMC, which currently dominates most of the industry until 2020. Apple may decide to go elsewhere because of patent disputes between them and Qualcomm (manufacturer of Snapdragon processors). Another critical factor in the future of share prices is the new Samsung Galaxy S III, which has been selling well since its launch and looks to
Raise its market share in North America. This will lead to a temporary rise and then stabilization as they recover from past problems. With all this said, we believe that we can expect Samsung’s stock price to increase by around 40% over the next year or so.
Future Plans Samsung Share
Samsung has solid plans for the future. They aim to increase their market share in North America through new devices selling well so far. The launch of their Tizen operating system is also likely to boost sales.
It will offer phones at a lower price than Android alternatives because no Google services will come built-in (and therefore, there’s no licensing fee).
Another critical factor affecting Samsung Share Price is that they recently brought out Snapdragon processors instead of their own Exynos range, which used up some cash flow but allowed them to move away from Qualcomm, producing too much revenue to patent disputes between Apple and Qualcomm.
This caused problems for Samsung with supply shortages on chipsets, although now they are making their own again, it has given them more control over the price of chipsets which is increasing margins.
The use of Snapdragon processors also increased Samsung’s reliance on Google because they were using Android, so they had to go with Qualcomm for phones to work correctly with all features, including fingerprint scanners, etc
Since then, however, there have been some disputes between Google and Qualcomm regarding licensing fees, so this could potentially lead to a split in the future where Samsung uses an alternative OS like Tizen or Sailfish or even forks off Android completely by creating another version without GMS (Google Mobile Services),
although both these options would require a lot of money changing hands as well as development time from developers before being ready for mass production so we probably won’t see it in the next year or two.
Conclusion:
Samsung’s mobile division is presently at an exciting point in time. Samsung is a tech giant after all and it won’t be surprising to Samsung at the top of the food chain