{"content_id":"bprmhxltxg","slug":"stock-investing-2026-earnings-liquidity-guide","locale":"en","schema_type":"Article","category":"report","category_name":"Report","title":"Stock Investing 2026: Assessing Earnings and Liquidity","summary":"Semiconductor earnings growth is confirmed, but whether current share prices are undervalued must be checked separately. When deciding portfolio allocations, distinguish the meanings of M2, TGA and reverse repos from the conditions under which each sector generates profits.","sponsorship_disclosure":null,"affiliate_disclosure":null,"commerce_disclosure":null,"author":{"name":"Injoys Editorial Team","url":"https://injoys.com/ko/about"},"key_points":["The 755% increase in Samsung Electronics' operating profit for the first quarter of 2026 comes from its preliminary earnings announcement.","Forward P/E uses estimated earnings per share, so it must not be calculated using operating profit forecasts instead.","M2 growth and a decline in reverse repo balances alone cannot tell you how much money is flowing into the stock market.","For semiconductors, renewable energy and telecommunications infrastructure, each company's orders and the conditions for turning them into profits must be checked separately.","Cash allocations should be based on when you need the funds and how much loss you can tolerate."],"content_markdown":"Stock investment opportunities should be judged by earnings prospects and purchase prices, not the intensity of fear. Semiconductor earnings growth has been confirmed. But an increase in liquidity alone does not guarantee rising stock prices. Set your investment allocation based on when you will need the money.\n\nCorporate earnings figures are based on company announcements made on April 7 and October 28~29, 2026.\n\n## Facts Confirmed by Semiconductor Earnings\n\nSamsung Electronics' reported operating profit growth of 755% is an actual announced figure. However, it refers to preliminary results for the first quarter of 2026. It should not be interpreted as an annual growth rate or as the upside potential of the current share price. [Samsung Electronics' First-Quarter Preliminary Results Announcement](https://news.samsungsemiconductor.com/kr/삼성전자-2026년-1분기-잠정실적-발표/)\n\nIf you are making a decision in November 2026, you should also check the third-quarter announcements. Samsung Electronics cited expanded HBM4 sales as a driver of its results. SK hynix also reported increased sales of high-value server products. The two companies' announcements show that AI-related demand translated into earnings. [Samsung Electronics' Third-Quarter Results Announcement](https://news.samsung.com/kr/삼성전자-2026년-3분기-실적-발표), [SK hynix's Third-Quarter Results Announcement](https://news.skhynix.com/en/q3-2026-business-results/)\n\n| Company and reporting period | Consolidated revenue | Consolidated operating profit | Announcement date and type |\n|---|---:|---:|---|\n| Samsung Electronics, first quarter of 2026 | KRW 133 trillion | KRW 57.2 trillion | April 7, 2026, preliminary results |\n| Samsung Electronics, third quarter of 2026 | KRW 195.3 trillion | KRW 107.4 trillion | October 29, 2026, results announcement |\n| SK hynix, third quarter of 2026 | KRW 104.6155 trillion | KRW 83.3338 trillion | October 28, 2026, results announcement |\n\nSK hynix stated that its accounting review was not complete at the time of the announcement. When reading subsequent reports, check whether the figures have been revised. Figures announced by a company should be distinguished from financial statements whose audit or review has been completed.\n\nEarnings growth alone cannot tell you how long a boom will last. You also need to examine the expectations already reflected in the current share price. An investment decision requires assessing whether future sales volumes and prices can be sustained.\n\n## Criteria for Judging Undervaluation Using Forward P/E\n\nForward P/E is the current share price divided by expected earnings per share. Earnings per share is the net income attributable to one share of stock. Operating profit cannot be used directly as the denominator in a P/E ratio. [CFA Institute's Explanation of Price Multiples](https://www.cfainstitute.org/insights/professional-learning/refresher-readings/2026/market-based-valuation-price-enterprise-value-multiples?trk=article-ssr-frontend-pulse_little-text-block)\n\n- Trailing P/E: A measure that uses earnings per share from recent results\n- Forward P/E: A measure that uses expected future earnings per share\n- 12-month forward P/E: A measure that uses expected earnings per share for the next 12 months\n- Fiscal-year forward P/E: A measure that uses expected earnings per share for a specific fiscal year\n\nA forecast of KRW 300 trillion in annual operating profit alone is not enough to calculate a P/E of 4. First, identify which company the forecast concerns. Then check its expected net income and number of shares. The date of the share price is also needed for the calculation.\n\nThe claim that the S\u0026P 500 trades at less than 20 times earnings also needs a reference date. The claim that the KOSPI trades at 8~9 times earnings likewise requires checking the source of the calculation. These figures have not been verified as current market values in this article. Check the period covered by the earnings forecast in your brokerage's explanation of the metric.\n\n| Comparison item | Basis that must match | Problem if the basis differs |\n|---|---|---|\n| Share prices and indexes | Same trading day | Mistaking price changes for differences in value |\n| Expected earnings | Same forecast period | Mixing this year's earnings with earnings for the next 12 months |\n| Definition of earnings | Same accounting and adjustment basis | Differences in whether one-time gains and losses are included |\n| Companies being compared | Similar business structures | Mistaking industry differences for undervaluation |\n| Forecast data | Same preparation date | Assessing current prices using outdated forecasts |\n\nA low P/E may reflect expectations of declining earnings. Companies that are highly sensitive to economic conditions can have low P/E ratios during a boom. You therefore need to assess whether current earnings can be sustained under normal conditions. CFA Institute explains the use of normalized earnings per share in this type of analysis.\n\n## Differences Between M2, TGA, and Reverse Repos\n\nThese three indicators cover different pools of money. M2 is a monetary measure that includes cash and deposits. TGA is the U.S. government's general account at the Federal Reserve. Reverse repos refer to short-term transactions that financial institutions and others conduct with the Federal Reserve.\n\nThe components of M2 in South Korea and the United States are not identical. The Bank of Korea and the Federal Reserve provide definitions in their respective statistics. When comparing countries, also use the same basis for growth rates. [Bank of Korea's Explanation of M2](https://snapshot.bok.or.kr/search/M2), [Federal Reserve H.6 Money Stock Statistics](https://www.federalreserve.gov/RELEASES/h6/current/default.htm)\n\n| Indicator | What it represents | What to check when making investment decisions |\n|---|---|---|\n| M2 | Money supply, including cash and deposits | Reference month, growth rate, and whether figures are seasonally adjusted |\n| TGA | The U.S. government's deposit balance at the Federal Reserve | Tax receipts, Treasury issuance, and government spending |\n| ON RRP | Amount placed in the Federal Reserve's overnight reverse repo facility | Short-term interest rates and yields on other short-term instruments |\n| Bank reserves | Deposits that banks hold at the Federal Reserve | Changes occurring alongside movements in TGA and reverse repos |\n\n### Does an Increase in M2 Mean Money Is Entering the Stock Market?\n\nAn increase in M2 does not directly show the amount of stock purchases. That is because an increase in deposits can be included in money supply growth. The absolute size of the money supply should be distinguished from money flowing into the stock market. M2 growth alone also cannot tell you when stock prices will rebound.\n\nM2 statistics are released monthly. Describing M2 as setting new highs every day therefore does not match its release frequency. To determine whether it is at a record high, compare it with historical values from the same series.\n\n### Is a Large TGA Balance Favorable for Rising Stock Prices?\n\nThe TGA balance alone cannot determine the direction of the stock market. Government spending can increase bank reserves, all else being equal. Conversely, tax payments and Treasury issuance can reduce reserves. The Federal Reserve Bank of St. Louis explains these relationships between accounts. [Explanation of the Federal Reserve's Balance Sheet and Reserves](https://www.stlouisfed.org/publications/page-one-economics/2026/feb/fed-balance-sheet-and-ample-reserves)\n\nMoney in the TGA is used for government spending and cash management. There is no basis for classifying that balance as money waiting to buy stocks. Where the money goes after it is spent must also be checked separately.\n\n### Does a Decline in Reverse Repos Mean Tightening Has Ended?\n\nA decline in reverse repo usage alone does not establish that tightening has ended. The Federal Reserve describes ON RRP as a supplementary tool for managing short-term interest rates. These transactions change the composition of the Federal Reserve's liabilities. They do not directly change the size of its securities holdings. [Federal Reserve's Explanation of ON RRP](https://www.federalreserve.gov/monetarypolicy/overnight-reverse-repurchase-agreements.htm)\n\nMoney leaving reverse repos can move into Treasury bills and other instruments. The Federal Reserve's 2025 analysis also confirmed such shifts. The entire decline in the balance should therefore not be counted as money flowing into the stock market. [Federal Reserve Analysis of MMF Asset Allocation](https://www.federalreserve.gov/econres/notes/feds-notes/insights-from-mmf-portfolio-allocations-amid-balance-sheet-normalization-20250303.html)\n\n## Comparing Semiconductors, Renewable Energy, and Telecommunications Infrastructure\n\nTo assess whether a company benefits from increased AI investment, check whether that investment translates into revenue for the company. Even companies in the same industry have different customers and contract structures. The table below provides criteria for review, not a ranking of stocks to buy.\n\n| Sector | Conditions for expectations to translate into revenue | Information to check | Conditions that weaken expectations |\n|---|---|---|---|\n| Semiconductors | Customer adoption and increased shipments | Revenue by product, production plans, and customer demand | Falling selling prices, increased supply, and reduced customer investment |\n| Wind and solar power | Orders and deliveries for power generation projects | Order backlog, contract terms, and profitability by project | Permitting delays, rising financing costs, and contract changes |\n| Power infrastructure | Grid connections and equipment installation | Delivery schedules, orders, and capacity expansion plans | Grid connection delays and project cancellations |\n| Data center networking equipment | Actual adoption of the relevant equipment | Product uses, customer mix, and order details | Adoption of other technologies and delayed customer investment |\n| Telecommunications services and mobile network equipment | Investment and demand from the relevant operators | Results by business and capital expenditure plans | Reduced investment and increased competition |\n\nThe IEA recorded 17% growth in global data center electricity demand in 2025. The figure appears in its 2026 report. It supports the case for expanding electricity demand. It does not represent the earnings growth rate of any individual renewable energy company. [IEA's Key Questions on Energy and AI](https://www.iea.org/reports/key-questions-on-energy-and-ai/executive-summary)\n\nSupplying electricity requires grids and storage systems as well as generation facilities. The IEA identifies grid connection delays as a constraint. When reviewing a renewable energy company, check which projects it supplies. Distinguish contracts linked to data center demand from those that are not.\n\nTelecommunications infrastructure also needs to be separated by business area. Data center networking equipment and mobile network equipment serve different sources of demand. Samsung Electronics reported a decline in its networks business results for the third quarter of 2026. This shows why a semiconductor boom cannot be assumed to extend to every telecommunications business.\n\n## Hidden AI Investment Concentration Risk Across Different Industries\n\nHoldings spread across different industries can still depend on the same demand. Holding both semiconductor and power equipment companies is one example. If telecommunications equipment holdings also depend on AI data center investment, concentration increases. This risk follows from the industry connections described above.\n\nIn this situation, check shared customers and funding flows rather than the number of stocks held. Reduced investment by a major customer can affect several companies in your portfolio. Do not assume you are diversified simply because the stocks have different names.\n\n- Customer concentration: Whether the companies depend on the same major customer's investment budget\n- Demand concentration: Whether they are linked to the same demand for data center construction\n- Financing-condition concentration: Whether rising interest rates affect funding for multiple businesses\n- Schedule concentration: Whether grid connection delays postpone deliveries by several companies at once\n\nThe SEC describes diversification as spreading risk across different investments. Asset allocation alone does not complete diversification. You also need to examine the composition of your actual holdings. [SEC Guide to Asset Allocation and Diversification](https://www.sec.gov/investor/pubs/assetallocation.htm)\n\n## Cash Allocation by Investment Circumstances\n\nAn allocation of 60~70% to stocks and 30~40% to cash is not a universal answer. Your cash allocation should match your investment goals. The SEC also explains that no single allocation fits every goal.\n\n| Circumstances of the funds | What to check first | Criteria to reflect in the allocation |\n|---|---|---|\n| Money needed in the near future | Spending dates and required amounts | Preservation of principal and ability to withdraw on the required date |\n| Irregular income | Possibility of a shortfall in living expenses | Separation of investment funds from reserves for living expenses |\n| Money you do not plan to use for a long time | Tolerance for losses | An investment allocation that allows you to withstand volatility |\n| Concentration in AI-related stocks | Shared customers and demand | Total amount exposed to the same risk |\n| Repeated changes to the plan because of losses | Losses you can actually tolerate | Adjusting risk to a level you can maintain |\n\nCash is a way to meet planned expenses. It can also provide funds for additional purchases. However, holding cash does not itself guarantee investment returns. Changes in purchasing power due to inflation also need to be considered.\n\nBuying in stages spreads purchases over time. If a company's value deteriorates, losses can occur even when purchases were spread out. Before buying more, check whether your original investment rationale still holds.\n\n## Common Mistakes When Treating Falling Stock Prices as an Opportunity\n\nA price decline and undervaluation are different assessments. Undervaluation means judging that a price is low relative to expected earnings. If earnings expectations have also fallen, a price decline alone does not make the investment more attractive.\n\n| Common interpretation | Missing consideration |\n|---|---|\n| Strong results mean the share price should rise | Expectations already reflected in the current price |\n| A low P/E means the investment is safe | Potential earnings declines and forecast revisions |\n| Geopolitical events are temporary noise | Effects on costs, logistics, and customer demand |\n| Having cash means you can buy every dip | Separation of cash for living expenses from cash for investment |\n| High-quality companies simply need to be held for a long time | Purchase price and changes in the business |\n\nGeopolitical events can change a company's costs and operating environment. Samsung Electronics' earnings conference materials also note the uncertainty of forward-looking statements. Factors include changes in exchange rates and interest rates. The materials warn that future results may differ substantially from forward-looking statements. [Cautionary Notes for Samsung Electronics' First-Quarter 2026 Earnings Conference](https://images.samsung.com/kdp/ir/events/2026/2026_1Q_conference_kor.pdf)\n\n## What to Check Before Buying, in Order\n\nStarting with how the money will be used makes it easier to maintain consistent criteria for buying decisions. Apply market forecasts after that. The sequence below is intended to help you decide how to respond if your forecasts turn out to be wrong.\n\n1. Write down when you will need the investment funds. Separate the money needed for planned expenses.\n2. Check the reporting period covered by the earnings data. Also mark whether the figures are preliminary.\n3. Record the source and preparation date of the earnings forecast. Distinguish operating profit from net income.\n4. Reassess the investment's appeal at the current price. Use comparisons based on the same criteria.\n5. Check the risks shared by your holdings. Calculate the total amount invested in assets linked to AI investment.\n6. Write down the conditions for buying more and reducing your allocation. Also decide how to respond if corporate earnings change.","content_html":"\u003cp\u003eStock investment opportunities should be judged by earnings prospects and purchase prices, not the intensity of fear. Semiconductor earnings growth has been confirmed. But an increase in liquidity alone does not guarantee rising stock prices. Set your investment allocation based on when you will need the money.\u003c/p\u003e\n\u003cp\u003eCorporate earnings figures are based on company announcements made on April 7 and October 28~29, 2026.\u003c/p\u003e\n\u003ch2\u003e\n\u003ca href=\"#facts-confirmed-by-semiconductor-earnings\" class=\"anchor\" id=\"facts-confirmed-by-semiconductor-earnings\"\u003e\u003c/a\u003eFacts Confirmed by Semiconductor Earnings\u003c/h2\u003e\n\u003cp\u003eSamsung Electronics' reported operating profit growth of 755% is an actual announced figure. However, it refers to preliminary results for the first quarter of 2026. It should not be interpreted as an annual growth rate or as the upside potential of the current share price. \u003ca href=\"https://news.samsungsemiconductor.com/kr/%EC%82%BC%EC%84%B1%EC%A0%84%EC%9E%90-2026%EB%85%84-1%EB%B6%84%EA%B8%B0-%EC%9E%A0%EC%A0%95%EC%8B%A4%EC%A0%81-%EB%B0%9C%ED%91%9C/\"\u003eSamsung Electronics' First-Quarter Preliminary Results Announcement\u003c/a\u003e\u003c/p\u003e\n\u003cp\u003eIf you are making a decision in November 2026, you should also check the third-quarter announcements. Samsung Electronics cited expanded HBM4 sales as a driver of its results. SK hynix also reported increased sales of high-value server products. The two companies' announcements show that AI-related demand translated into earnings. \u003ca href=\"https://news.samsung.com/kr/%EC%82%BC%EC%84%B1%EC%A0%84%EC%9E%90-2026%EB%85%84-3%EB%B6%84%EA%B8%B0-%EC%8B%A4%EC%A0%81-%EB%B0%9C%ED%91%9C\"\u003eSamsung Electronics' Third-Quarter Results Announcement\u003c/a\u003e, \u003ca href=\"https://news.skhynix.com/en/q3-2026-business-results/\"\u003eSK hynix's Third-Quarter Results Announcement\u003c/a\u003e\u003c/p\u003e\n\u003cdiv class=\"overflow-x-auto\"\u003e\u003ctable\u003e\n\u003cthead\u003e\n\u003ctr\u003e\n\u003cth\u003eCompany and reporting period\u003c/th\u003e\n\u003cth\u003eConsolidated revenue\u003c/th\u003e\n\u003cth\u003eConsolidated operating profit\u003c/th\u003e\n\u003cth\u003eAnnouncement date and type\u003c/th\u003e\n\u003c/tr\u003e\n\u003c/thead\u003e\n\u003ctbody\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Company and reporting period\"\u003eSamsung Electronics, first quarter of 2026\u003c/td\u003e\n\u003ctd data-label=\"Consolidated revenue\"\u003eKRW 133 trillion\u003c/td\u003e\n\u003ctd data-label=\"Consolidated operating profit\"\u003eKRW 57.2 trillion\u003c/td\u003e\n\u003ctd data-label=\"Announcement date and type\"\u003eApril 7, 2026, preliminary results\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Company and reporting period\"\u003eSamsung Electronics, third quarter of 2026\u003c/td\u003e\n\u003ctd data-label=\"Consolidated revenue\"\u003eKRW 195.3 trillion\u003c/td\u003e\n\u003ctd data-label=\"Consolidated operating profit\"\u003eKRW 107.4 trillion\u003c/td\u003e\n\u003ctd data-label=\"Announcement date and type\"\u003eOctober 29, 2026, results announcement\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Company and reporting period\"\u003eSK hynix, third quarter of 2026\u003c/td\u003e\n\u003ctd data-label=\"Consolidated revenue\"\u003eKRW 104.6155 trillion\u003c/td\u003e\n\u003ctd data-label=\"Consolidated operating profit\"\u003eKRW 83.3338 trillion\u003c/td\u003e\n\u003ctd data-label=\"Announcement date and type\"\u003eOctober 28, 2026, results announcement\u003c/td\u003e\n\u003c/tr\u003e\n\u003c/tbody\u003e\n\u003c/table\u003e\u003c/div\u003e\n\u003cp\u003eSK hynix stated that its accounting review was not complete at the time of the announcement. When reading subsequent reports, check whether the figures have been revised. Figures announced by a company should be distinguished from financial statements whose audit or review has been completed.\u003c/p\u003e\n\u003cp\u003eEarnings growth alone cannot tell you how long a boom will last. You also need to examine the expectations already reflected in the current share price. An investment decision requires assessing whether future sales volumes and prices can be sustained.\u003c/p\u003e\n\u003ch2\u003e\n\u003ca href=\"#criteria-for-judging-undervaluation-using-forward-pe\" class=\"anchor\" id=\"criteria-for-judging-undervaluation-using-forward-pe\"\u003e\u003c/a\u003eCriteria for Judging Undervaluation Using Forward P/E\u003c/h2\u003e\n\u003cp\u003eForward P/E is the current share price divided by expected earnings per share. Earnings per share is the net income attributable to one share of stock. Operating profit cannot be used directly as the denominator in a P/E ratio. \u003ca href=\"https://www.cfainstitute.org/insights/professional-learning/refresher-readings/2026/market-based-valuation-price-enterprise-value-multiples?trk=article-ssr-frontend-pulse_little-text-block\"\u003eCFA Institute's Explanation of Price Multiples\u003c/a\u003e\u003c/p\u003e\n\u003cul\u003e\n\u003cli\u003eTrailing P/E: A measure that uses earnings per share from recent results\u003c/li\u003e\n\u003cli\u003eForward P/E: A measure that uses expected future earnings per share\u003c/li\u003e\n\u003cli\u003e12-month forward P/E: A measure that uses expected earnings per share for the next 12 months\u003c/li\u003e\n\u003cli\u003eFiscal-year forward P/E: A measure that uses expected earnings per share for a specific fiscal year\u003c/li\u003e\n\u003c/ul\u003e\n\u003cp\u003eA forecast of KRW 300 trillion in annual operating profit alone is not enough to calculate a P/E of 4. First, identify which company the forecast concerns. Then check its expected net income and number of shares. The date of the share price is also needed for the calculation.\u003c/p\u003e\n\u003cp\u003eThe claim that the S\u0026amp;P 500 trades at less than 20 times earnings also needs a reference date. The claim that the KOSPI trades at 8~9 times earnings likewise requires checking the source of the calculation. These figures have not been verified as current market values in this article. Check the period covered by the earnings forecast in your brokerage's explanation of the metric.\u003c/p\u003e\n\u003cdiv class=\"overflow-x-auto\"\u003e\u003ctable\u003e\n\u003cthead\u003e\n\u003ctr\u003e\n\u003cth\u003eComparison item\u003c/th\u003e\n\u003cth\u003eBasis that must match\u003c/th\u003e\n\u003cth\u003eProblem if the basis differs\u003c/th\u003e\n\u003c/tr\u003e\n\u003c/thead\u003e\n\u003ctbody\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Comparison item\"\u003eShare prices and indexes\u003c/td\u003e\n\u003ctd data-label=\"Basis that must match\"\u003eSame trading day\u003c/td\u003e\n\u003ctd data-label=\"Problem if the basis differs\"\u003eMistaking price changes for differences in value\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Comparison item\"\u003eExpected earnings\u003c/td\u003e\n\u003ctd data-label=\"Basis that must match\"\u003eSame forecast period\u003c/td\u003e\n\u003ctd data-label=\"Problem if the basis differs\"\u003eMixing this year's earnings with earnings for the next 12 months\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Comparison item\"\u003eDefinition of earnings\u003c/td\u003e\n\u003ctd data-label=\"Basis that must match\"\u003eSame accounting and adjustment basis\u003c/td\u003e\n\u003ctd data-label=\"Problem if the basis differs\"\u003eDifferences in whether one-time gains and losses are included\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Comparison item\"\u003eCompanies being compared\u003c/td\u003e\n\u003ctd data-label=\"Basis that must match\"\u003eSimilar business structures\u003c/td\u003e\n\u003ctd data-label=\"Problem if the basis differs\"\u003eMistaking industry differences for undervaluation\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Comparison item\"\u003eForecast data\u003c/td\u003e\n\u003ctd data-label=\"Basis that must match\"\u003eSame preparation date\u003c/td\u003e\n\u003ctd data-label=\"Problem if the basis differs\"\u003eAssessing current prices using outdated forecasts\u003c/td\u003e\n\u003c/tr\u003e\n\u003c/tbody\u003e\n\u003c/table\u003e\u003c/div\u003e\n\u003cp\u003eA low P/E may reflect expectations of declining earnings. Companies that are highly sensitive to economic conditions can have low P/E ratios during a boom. You therefore need to assess whether current earnings can be sustained under normal conditions. CFA Institute explains the use of normalized earnings per share in this type of analysis.\u003c/p\u003e\n\u003ch2\u003e\n\u003ca href=\"#differences-between-m2-tga-and-reverse-repos\" class=\"anchor\" id=\"differences-between-m2-tga-and-reverse-repos\"\u003e\u003c/a\u003eDifferences Between M2, TGA, and Reverse Repos\u003c/h2\u003e\n\u003cp\u003eThese three indicators cover different pools of money. M2 is a monetary measure that includes cash and deposits. TGA is the U.S. government's general account at the Federal Reserve. Reverse repos refer to short-term transactions that financial institutions and others conduct with the Federal Reserve.\u003c/p\u003e\n\u003cp\u003eThe components of M2 in South Korea and the United States are not identical. The Bank of Korea and the Federal Reserve provide definitions in their respective statistics. When comparing countries, also use the same basis for growth rates. \u003ca href=\"https://snapshot.bok.or.kr/search/M2\"\u003eBank of Korea's Explanation of M2\u003c/a\u003e, \u003ca href=\"https://www.federalreserve.gov/RELEASES/h6/current/default.htm\"\u003eFederal Reserve H.6 Money Stock Statistics\u003c/a\u003e\u003c/p\u003e\n\u003cdiv class=\"overflow-x-auto\"\u003e\u003ctable\u003e\n\u003cthead\u003e\n\u003ctr\u003e\n\u003cth\u003eIndicator\u003c/th\u003e\n\u003cth\u003eWhat it represents\u003c/th\u003e\n\u003cth\u003eWhat to check when making investment decisions\u003c/th\u003e\n\u003c/tr\u003e\n\u003c/thead\u003e\n\u003ctbody\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Indicator\"\u003eM2\u003c/td\u003e\n\u003ctd data-label=\"What it represents\"\u003eMoney supply, including cash and deposits\u003c/td\u003e\n\u003ctd data-label=\"What to check when making investment decisions\"\u003eReference month, growth rate, and whether figures are seasonally adjusted\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Indicator\"\u003eTGA\u003c/td\u003e\n\u003ctd data-label=\"What it represents\"\u003eThe U.S. government's deposit balance at the Federal Reserve\u003c/td\u003e\n\u003ctd data-label=\"What to check when making investment decisions\"\u003eTax receipts, Treasury issuance, and government spending\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Indicator\"\u003eON RRP\u003c/td\u003e\n\u003ctd data-label=\"What it represents\"\u003eAmount placed in the Federal Reserve's overnight reverse repo facility\u003c/td\u003e\n\u003ctd data-label=\"What to check when making investment decisions\"\u003eShort-term interest rates and yields on other short-term instruments\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Indicator\"\u003eBank reserves\u003c/td\u003e\n\u003ctd data-label=\"What it represents\"\u003eDeposits that banks hold at the Federal Reserve\u003c/td\u003e\n\u003ctd data-label=\"What to check when making investment decisions\"\u003eChanges occurring alongside movements in TGA and reverse repos\u003c/td\u003e\n\u003c/tr\u003e\n\u003c/tbody\u003e\n\u003c/table\u003e\u003c/div\u003e\n\u003ch3\u003e\n\u003ca href=\"#does-an-increase-in-m2-mean-money-is-entering-the-stock-market\" class=\"anchor\" id=\"does-an-increase-in-m2-mean-money-is-entering-the-stock-market\"\u003e\u003c/a\u003eDoes an Increase in M2 Mean Money Is Entering the Stock Market?\u003c/h3\u003e\n\u003cp\u003eAn increase in M2 does not directly show the amount of stock purchases. That is because an increase in deposits can be included in money supply growth. The absolute size of the money supply should be distinguished from money flowing into the stock market. M2 growth alone also cannot tell you when stock prices will rebound.\u003c/p\u003e\n\u003cp\u003eM2 statistics are released monthly. Describing M2 as setting new highs every day therefore does not match its release frequency. To determine whether it is at a record high, compare it with historical values from the same series.\u003c/p\u003e\n\u003ch3\u003e\n\u003ca href=\"#is-a-large-tga-balance-favorable-for-rising-stock-prices\" class=\"anchor\" id=\"is-a-large-tga-balance-favorable-for-rising-stock-prices\"\u003e\u003c/a\u003eIs a Large TGA Balance Favorable for Rising Stock Prices?\u003c/h3\u003e\n\u003cp\u003eThe TGA balance alone cannot determine the direction of the stock market. Government spending can increase bank reserves, all else being equal. Conversely, tax payments and Treasury issuance can reduce reserves. The Federal Reserve Bank of St. Louis explains these relationships between accounts. \u003ca href=\"https://www.stlouisfed.org/publications/page-one-economics/2026/feb/fed-balance-sheet-and-ample-reserves\"\u003eExplanation of the Federal Reserve's Balance Sheet and Reserves\u003c/a\u003e\u003c/p\u003e\n\u003cp\u003eMoney in the TGA is used for government spending and cash management. There is no basis for classifying that balance as money waiting to buy stocks. Where the money goes after it is spent must also be checked separately.\u003c/p\u003e\n\u003ch3\u003e\n\u003ca href=\"#does-a-decline-in-reverse-repos-mean-tightening-has-ended\" class=\"anchor\" id=\"does-a-decline-in-reverse-repos-mean-tightening-has-ended\"\u003e\u003c/a\u003eDoes a Decline in Reverse Repos Mean Tightening Has Ended?\u003c/h3\u003e\n\u003cp\u003eA decline in reverse repo usage alone does not establish that tightening has ended. The Federal Reserve describes ON RRP as a supplementary tool for managing short-term interest rates. These transactions change the composition of the Federal Reserve's liabilities. They do not directly change the size of its securities holdings. \u003ca href=\"https://www.federalreserve.gov/monetarypolicy/overnight-reverse-repurchase-agreements.htm\"\u003eFederal Reserve's Explanation of ON RRP\u003c/a\u003e\u003c/p\u003e\n\u003cp\u003eMoney leaving reverse repos can move into Treasury bills and other instruments. The Federal Reserve's 2025 analysis also confirmed such shifts. The entire decline in the balance should therefore not be counted as money flowing into the stock market. \u003ca href=\"https://www.federalreserve.gov/econres/notes/feds-notes/insights-from-mmf-portfolio-allocations-amid-balance-sheet-normalization-20250303.html\"\u003eFederal Reserve Analysis of MMF Asset Allocation\u003c/a\u003e\u003c/p\u003e\n\u003ch2\u003e\n\u003ca href=\"#comparing-semiconductors-renewable-energy-and-telecommunications-infrastructure\" class=\"anchor\" id=\"comparing-semiconductors-renewable-energy-and-telecommunications-infrastructure\"\u003e\u003c/a\u003eComparing Semiconductors, Renewable Energy, and Telecommunications Infrastructure\u003c/h2\u003e\n\u003cp\u003eTo assess whether a company benefits from increased AI investment, check whether that investment translates into revenue for the company. Even companies in the same industry have different customers and contract structures. The table below provides criteria for review, not a ranking of stocks to buy.\u003c/p\u003e\n\u003cdiv class=\"overflow-x-auto\"\u003e\u003ctable\u003e\n\u003cthead\u003e\n\u003ctr\u003e\n\u003cth\u003eSector\u003c/th\u003e\n\u003cth\u003eConditions for expectations to translate into revenue\u003c/th\u003e\n\u003cth\u003eInformation to check\u003c/th\u003e\n\u003cth\u003eConditions that weaken expectations\u003c/th\u003e\n\u003c/tr\u003e\n\u003c/thead\u003e\n\u003ctbody\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Sector\"\u003eSemiconductors\u003c/td\u003e\n\u003ctd data-label=\"Conditions for expectations to translate into revenue\"\u003eCustomer adoption and increased shipments\u003c/td\u003e\n\u003ctd data-label=\"Information to check\"\u003eRevenue by product, production plans, and customer demand\u003c/td\u003e\n\u003ctd data-label=\"Conditions that weaken expectations\"\u003eFalling selling prices, increased supply, and reduced customer investment\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Sector\"\u003eWind and solar power\u003c/td\u003e\n\u003ctd data-label=\"Conditions for expectations to translate into revenue\"\u003eOrders and deliveries for power generation projects\u003c/td\u003e\n\u003ctd data-label=\"Information to check\"\u003eOrder backlog, contract terms, and profitability by project\u003c/td\u003e\n\u003ctd data-label=\"Conditions that weaken expectations\"\u003ePermitting delays, rising financing costs, and contract changes\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Sector\"\u003ePower infrastructure\u003c/td\u003e\n\u003ctd data-label=\"Conditions for expectations to translate into revenue\"\u003eGrid connections and equipment installation\u003c/td\u003e\n\u003ctd data-label=\"Information to check\"\u003eDelivery schedules, orders, and capacity expansion plans\u003c/td\u003e\n\u003ctd data-label=\"Conditions that weaken expectations\"\u003eGrid connection delays and project cancellations\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Sector\"\u003eData center networking equipment\u003c/td\u003e\n\u003ctd data-label=\"Conditions for expectations to translate into revenue\"\u003eActual adoption of the relevant equipment\u003c/td\u003e\n\u003ctd data-label=\"Information to check\"\u003eProduct uses, customer mix, and order details\u003c/td\u003e\n\u003ctd data-label=\"Conditions that weaken expectations\"\u003eAdoption of other technologies and delayed customer investment\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Sector\"\u003eTelecommunications services and mobile network equipment\u003c/td\u003e\n\u003ctd data-label=\"Conditions for expectations to translate into revenue\"\u003eInvestment and demand from the relevant operators\u003c/td\u003e\n\u003ctd data-label=\"Information to check\"\u003eResults by business and capital expenditure plans\u003c/td\u003e\n\u003ctd data-label=\"Conditions that weaken expectations\"\u003eReduced investment and increased competition\u003c/td\u003e\n\u003c/tr\u003e\n\u003c/tbody\u003e\n\u003c/table\u003e\u003c/div\u003e\n\u003cp\u003eThe IEA recorded 17% growth in global data center electricity demand in 2025. The figure appears in its 2026 report. It supports the case for expanding electricity demand. It does not represent the earnings growth rate of any individual renewable energy company. \u003ca href=\"https://www.iea.org/reports/key-questions-on-energy-and-ai/executive-summary\"\u003eIEA's Key Questions on Energy and AI\u003c/a\u003e\u003c/p\u003e\n\u003cp\u003eSupplying electricity requires grids and storage systems as well as generation facilities. The IEA identifies grid connection delays as a constraint. When reviewing a renewable energy company, check which projects it supplies. Distinguish contracts linked to data center demand from those that are not.\u003c/p\u003e\n\u003cp\u003eTelecommunications infrastructure also needs to be separated by business area. Data center networking equipment and mobile network equipment serve different sources of demand. Samsung Electronics reported a decline in its networks business results for the third quarter of 2026. This shows why a semiconductor boom cannot be assumed to extend to every telecommunications business.\u003c/p\u003e\n\u003ch2\u003e\n\u003ca href=\"#hidden-ai-investment-concentration-risk-across-different-industries\" class=\"anchor\" id=\"hidden-ai-investment-concentration-risk-across-different-industries\"\u003e\u003c/a\u003eHidden AI Investment Concentration Risk Across Different Industries\u003c/h2\u003e\n\u003cp\u003eHoldings spread across different industries can still depend on the same demand. Holding both semiconductor and power equipment companies is one example. If telecommunications equipment holdings also depend on AI data center investment, concentration increases. This risk follows from the industry connections described above.\u003c/p\u003e\n\u003cp\u003eIn this situation, check shared customers and funding flows rather than the number of stocks held. Reduced investment by a major customer can affect several companies in your portfolio. Do not assume you are diversified simply because the stocks have different names.\u003c/p\u003e\n\u003cul\u003e\n\u003cli\u003eCustomer concentration: Whether the companies depend on the same major customer's investment budget\u003c/li\u003e\n\u003cli\u003eDemand concentration: Whether they are linked to the same demand for data center construction\u003c/li\u003e\n\u003cli\u003eFinancing-condition concentration: Whether rising interest rates affect funding for multiple businesses\u003c/li\u003e\n\u003cli\u003eSchedule concentration: Whether grid connection delays postpone deliveries by several companies at once\u003c/li\u003e\n\u003c/ul\u003e\n\u003cp\u003eThe SEC describes diversification as spreading risk across different investments. Asset allocation alone does not complete diversification. You also need to examine the composition of your actual holdings. \u003ca href=\"https://www.sec.gov/investor/pubs/assetallocation.htm\"\u003eSEC Guide to Asset Allocation and Diversification\u003c/a\u003e\u003c/p\u003e\n\u003ch2\u003e\n\u003ca href=\"#cash-allocation-by-investment-circumstances\" class=\"anchor\" id=\"cash-allocation-by-investment-circumstances\"\u003e\u003c/a\u003eCash Allocation by Investment Circumstances\u003c/h2\u003e\n\u003cp\u003eAn allocation of 60~70% to stocks and 30~40% to cash is not a universal answer. Your cash allocation should match your investment goals. The SEC also explains that no single allocation fits every goal.\u003c/p\u003e\n\u003cdiv class=\"overflow-x-auto\"\u003e\u003ctable\u003e\n\u003cthead\u003e\n\u003ctr\u003e\n\u003cth\u003eCircumstances of the funds\u003c/th\u003e\n\u003cth\u003eWhat to check first\u003c/th\u003e\n\u003cth\u003eCriteria to reflect in the allocation\u003c/th\u003e\n\u003c/tr\u003e\n\u003c/thead\u003e\n\u003ctbody\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Circumstances of the funds\"\u003eMoney needed in the near future\u003c/td\u003e\n\u003ctd data-label=\"What to check first\"\u003eSpending dates and required amounts\u003c/td\u003e\n\u003ctd data-label=\"Criteria to reflect in the allocation\"\u003ePreservation of principal and ability to withdraw on the required date\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Circumstances of the funds\"\u003eIrregular income\u003c/td\u003e\n\u003ctd data-label=\"What to check first\"\u003ePossibility of a shortfall in living expenses\u003c/td\u003e\n\u003ctd data-label=\"Criteria to reflect in the allocation\"\u003eSeparation of investment funds from reserves for living expenses\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Circumstances of the funds\"\u003eMoney you do not plan to use for a long time\u003c/td\u003e\n\u003ctd data-label=\"What to check first\"\u003eTolerance for losses\u003c/td\u003e\n\u003ctd data-label=\"Criteria to reflect in the allocation\"\u003eAn investment allocation that allows you to withstand volatility\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Circumstances of the funds\"\u003eConcentration in AI-related stocks\u003c/td\u003e\n\u003ctd data-label=\"What to check first\"\u003eShared customers and demand\u003c/td\u003e\n\u003ctd data-label=\"Criteria to reflect in the allocation\"\u003eTotal amount exposed to the same risk\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Circumstances of the funds\"\u003eRepeated changes to the plan because of losses\u003c/td\u003e\n\u003ctd data-label=\"What to check first\"\u003eLosses you can actually tolerate\u003c/td\u003e\n\u003ctd data-label=\"Criteria to reflect in the allocation\"\u003eAdjusting risk to a level you can maintain\u003c/td\u003e\n\u003c/tr\u003e\n\u003c/tbody\u003e\n\u003c/table\u003e\u003c/div\u003e\n\u003cp\u003eCash is a way to meet planned expenses. It can also provide funds for additional purchases. However, holding cash does not itself guarantee investment returns. Changes in purchasing power due to inflation also need to be considered.\u003c/p\u003e\n\u003cp\u003eBuying in stages spreads purchases over time. If a company's value deteriorates, losses can occur even when purchases were spread out. Before buying more, check whether your original investment rationale still holds.\u003c/p\u003e\n\u003ch2\u003e\n\u003ca href=\"#common-mistakes-when-treating-falling-stock-prices-as-an-opportunity\" class=\"anchor\" id=\"common-mistakes-when-treating-falling-stock-prices-as-an-opportunity\"\u003e\u003c/a\u003eCommon Mistakes When Treating Falling Stock Prices as an Opportunity\u003c/h2\u003e\n\u003cp\u003eA price decline and undervaluation are different assessments. Undervaluation means judging that a price is low relative to expected earnings. If earnings expectations have also fallen, a price decline alone does not make the investment more attractive.\u003c/p\u003e\n\u003cdiv class=\"overflow-x-auto\"\u003e\u003ctable\u003e\n\u003cthead\u003e\n\u003ctr\u003e\n\u003cth\u003eCommon interpretation\u003c/th\u003e\n\u003cth\u003eMissing consideration\u003c/th\u003e\n\u003c/tr\u003e\n\u003c/thead\u003e\n\u003ctbody\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Common interpretation\"\u003eStrong results mean the share price should rise\u003c/td\u003e\n\u003ctd data-label=\"Missing consideration\"\u003eExpectations already reflected in the current price\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Common interpretation\"\u003eA low P/E means the investment is safe\u003c/td\u003e\n\u003ctd data-label=\"Missing consideration\"\u003ePotential earnings declines and forecast revisions\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Common interpretation\"\u003eGeopolitical events are temporary noise\u003c/td\u003e\n\u003ctd data-label=\"Missing consideration\"\u003eEffects on costs, logistics, and customer demand\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Common interpretation\"\u003eHaving cash means you can buy every dip\u003c/td\u003e\n\u003ctd data-label=\"Missing consideration\"\u003eSeparation of cash for living expenses from cash for investment\u003c/td\u003e\n\u003c/tr\u003e\n\u003ctr\u003e\n\u003ctd data-label=\"Common interpretation\"\u003eHigh-quality companies simply need to be held for a long time\u003c/td\u003e\n\u003ctd data-label=\"Missing consideration\"\u003ePurchase price and changes in the business\u003c/td\u003e\n\u003c/tr\u003e\n\u003c/tbody\u003e\n\u003c/table\u003e\u003c/div\u003e\n\u003cp\u003eGeopolitical events can change a company's costs and operating environment. Samsung Electronics' earnings conference materials also note the uncertainty of forward-looking statements. Factors include changes in exchange rates and interest rates. The materials warn that future results may differ substantially from forward-looking statements. \u003ca href=\"https://images.samsung.com/kdp/ir/events/2026/2026_1Q_conference_kor.pdf\"\u003eCautionary Notes for Samsung Electronics' First-Quarter 2026 Earnings Conference\u003c/a\u003e\u003c/p\u003e\n\u003ch2\u003e\n\u003ca href=\"#what-to-check-before-buying-in-order\" class=\"anchor\" id=\"what-to-check-before-buying-in-order\"\u003e\u003c/a\u003eWhat to Check Before Buying, in Order\u003c/h2\u003e\n\u003cp\u003eStarting with how the money will be used makes it easier to maintain consistent criteria for buying decisions. Apply market forecasts after that. The sequence below is intended to help you decide how to respond if your forecasts turn out to be wrong.\u003c/p\u003e\n\u003col\u003e\n\u003cli\u003eWrite down when you will need the investment funds. Separate the money needed for planned expenses.\u003c/li\u003e\n\u003cli\u003eCheck the reporting period covered by the earnings data. Also mark whether the figures are preliminary.\u003c/li\u003e\n\u003cli\u003eRecord the source and preparation date of the earnings forecast. Distinguish operating profit from net income.\u003c/li\u003e\n\u003cli\u003eReassess the investment's appeal at the current price. Use comparisons based on the same criteria.\u003c/li\u003e\n\u003cli\u003eCheck the risks shared by your holdings. Calculate the total amount invested in assets linked to AI investment.\u003c/li\u003e\n\u003cli\u003eWrite down the conditions for buying more and reducing your allocation. Also decide how to respond if corporate earnings change.\u003c/li\u003e\n\u003c/ol\u003e\n","tags":["Diversification","Asset allocation","Semiconductors","AI Data Center","Investment","Investor psychology"],"faqs":[{"question":"Is it true that Samsung Electronics' operating profit increased by 755%?","answer":"Samsung Electronics announced preliminary results on April 7, 2026. The year-over-year increase in consolidated operating profit for the first quarter was 755%. This figure does not refer to full-year growth."},{"question":"Will stock prices rise if semiconductor earnings improve?","answer":"Earnings growth alone cannot guarantee a rise in stock prices. You need to check what expectations are already priced in. Compare future earnings prospects with the purchase price."},{"question":"Can I calculate PER using operating profit?","answer":"PER is a metric calculated by dividing the stock price by earnings per share. Operating profit is different from earnings per share. You should not calculate forward PER using only operating profit forecasts."},{"question":"Can I directly compare the forward PER of the KOSPI and the S\u0026P 500?","answer":"First, check whether they use the same reference date and forecast period. The sectors that make up the indices also differ. A lower multiple alone is not enough to conclude that one market is more undervalued."},{"question":"Does an increase in M2 mean an increase in funds for stock purchases?","answer":"M2 is a measure of the money supply that includes cash, deposits, and other forms of money. It does not directly measure the amount spent on stock purchases. You need to distinguish between M2 growth and inflows into the stock market."},{"question":"Can I expect stock prices to rise if the U.S. TGA balance is high?","answer":"The TGA is the U.S. government's general account at the Federal Reserve. It is affected not only by spending but also by tax revenue and Treasury issuance. The balance alone cannot tell you how much money will flow into the stock market."},{"question":"Does money move into the stock market when reverse repo balances decline?","answer":"Money leaving reverse repos can move into Treasury bills or private repos. Federal Reserve analysis has also confirmed these movements. You cannot treat the entire decline in balances as funds for stock purchases."},{"question":"Does an increase in AI data centers guarantee profits for renewable energy companies?","answer":"Growth in electricity demand and profit growth at individual companies are separate matters. You need to check actual supply contracts and business profitability. Delays in grid connections also need to be reviewed."},{"question":"Am I diversifying if I buy both semiconductor and power equipment stocks?","answer":"Both sectors may depend on the same demand from AI investment. A reduction in investment by shared customers could affect both. Check the extent of shared risks rather than the number of stocks."},{"question":"Is an allocation of 60~70% stocks and 30~40% cash appropriate?","answer":"There is no single allocation that suits every investor. The criteria are when you need to use the money and how much loss you can tolerate. Keep money needed for living expenses separate from investment funds."},{"question":"Can I avoid losses by buying in installments during a market downturn?","answer":"Buying in installments means spreading purchases over time. It does not prevent losses caused by a decline in a company's value. Before buying more, check whether your investment rationale still holds."},{"question":"What should I check first when market fear increases?","answer":"First, check when you will need to use your invested funds. Then look at whether the company's earnings outlook has changed. You can distinguish emotional reactions from changes in earnings when making your judgment."}],"sources":[{"url":"https://news.samsungsemiconductor.com/kr/삼성전자-2026년-1분기-잠정실적-발표/","title":"Samsung Electronics Announces Preliminary Earnings for 1Q 2026, April 7, 2026","type":"data_point"},{"url":"https://news.samsung.com/kr/삼성전자-2026년-3분기-실적-발표","title":"Samsung Electronics Announces 3Q 2026 Financial Results, October 29, 2026","type":"data_point"},{"url":"https://news.skhynix.com/en/q3-2026-business-results/","title":"SK hynix Announces 3Q26 Financial Results, October 28, 2026","type":"data_point"},{"url":"https://images.samsung.com/kdp/ir/events/2026/2026_1Q_conference_kor.pdf","title":"Samsung Electronics 1Q 2026 Earnings Call, Cautionary Note on Forward-Looking Statements","type":"source"},{"url":"https://www.cfainstitute.org/insights/professional-learning/refresher-readings/2026/market-based-valuation-price-enterprise-value-multiples?trk=article-ssr-frontend-pulse_little-text-block","title":"CFA Institute, Market-Based Valuation: Price and Enterprise Value Multiples","type":"source"},{"url":"https://snapshot.bok.or.kr/search/M2","title":"Bank of Korea Financial and Economic Snapshot, M2","type":"source"},{"url":"https://www.federalreserve.gov/RELEASES/h6/current/default.htm","title":"Federal Reserve, Money Stock Measures, H.6","type":"source"},{"url":"https://www.stlouisfed.org/publications/page-one-economics/2026/feb/fed-balance-sheet-and-ample-reserves","title":"Federal Reserve Bank of St. Louis, The Fed’s Balance Sheet and Ample Reserves","type":"source"},{"url":"https://www.federalreserve.gov/monetarypolicy/overnight-reverse-repurchase-agreements.htm","title":"Federal Reserve, Overnight Reverse Repurchase Agreement Operations","type":"source"},{"url":"https://www.federalreserve.gov/econres/notes/feds-notes/insights-from-mmf-portfolio-allocations-amid-balance-sheet-normalization-20250303.html","title":"Federal Reserve, Insights from MMF Portfolio Allocations amid Balance Sheet Normalization","type":"source"},{"url":"https://www.iea.org/reports/key-questions-on-energy-and-ai/executive-summary","title":"IEA, Key Questions on Energy and AI, Executive summary, 2026","type":"data_point"},{"url":"https://www.sec.gov/investor/pubs/assetallocation.htm","title":"SEC, Beginners' Guide to Asset Allocation, Diversification, and Rebalancing","type":"source"}],"images":[{"id":2418,"url":"https://injoys.com/rails/active_storage/blobs/proxy/eyJfcmFpbHMiOnsiZGF0YSI6Mzc3MzAsInB1ciI6ImJsb2JfaWQifX0=--6a1d8198e008a5e62e3edaf460bdb54004cdf60e/ai-85142bce.webp","is_representative":true,"generation_method":"ai_photo","license":"ai_generated","mime_type":"image/webp","width":1536,"height":1024,"translations":{"ko":{"alt":"반도체 검사 시설에서 젊은 기술자가 자동 검사 장비에 놓인 칩 트레이를 살펴보고 있다.","caption":"반도체 실적 성장만으로 현재 주가가 저평가됐다고 판단할 수는 없습니다.","description":null},"en":{"alt":"A young technician examines a tray of chips in an automated tester at a semiconductor facility.","caption":"Semiconductor earnings growth alone does not establish that current share prices are undervalued.","description":null},"ja":{"alt":"半導体検査施設で、若い技術者が自動検査装置に置かれたチップのトレーを確認している。","caption":"半導体の業績成長だけでは、現在の株価が割安だとは判断できません。","description":null},"es":{"alt":"Un técnico joven revisa una bandeja de chips en un equipo de prueba automatizado de una planta de semiconductores.","caption":"El crecimiento de los beneficios del sector de semiconductores no basta para concluir que las acciones están infravaloradas.","description":null},"id":{"alt":"Teknisi muda memeriksa baki berisi cip pada alat uji otomatis di fasilitas semikonduktor.","caption":"Pertumbuhan laba sektor semikonduktor saja tidak membuktikan bahwa harga saham saat ini berada di bawah nilai wajarnya.","description":null},"pt":{"alt":"Um jovem técnico examina uma bandeja de chips em um testador automático numa instalação de semicondutores.","caption":"O crescimento dos lucros do setor de semicondutores, por si só, não comprova que as ações estejam subvalorizadas.","description":null},"zh-hant":{"alt":"半導體測試設施內，一名年輕技術員正在查看自動測試設備上的晶片托盤。","caption":"半導體獲利成長本身，並不足以證明目前股價遭到低估。","description":null},"de":{"alt":"Ein junger Techniker prüft ein Chip-Tablett in einer automatischen Testanlage für Halbleiter.","caption":"Steigende Gewinne im Halbleitersektor allein belegen nicht, dass die aktuellen Aktienkurse unterbewertet sind.","description":null}}},{"id":2419,"url":"https://injoys.com/rails/active_storage/blobs/proxy/eyJfcmFpbHMiOnsiZGF0YSI6Mzc3MzYsInB1ciI6ImJsb2JfaWQifX0=--d393471eb6e8c47900be91bb5ef5efbeec14ead6/ai-3515857f.webp","is_representative":false,"generation_method":"ai_semi","license":"ai_generated","mime_type":"image/webp","width":1536,"height":1024,"translations":{"ko":{"alt":"데이터센터에서 여성 기술자가 노란 광케이블을 랙에 설치된 네트워크 스위치에 연결하는 모습","caption":"통신 인프라는 기업별 수주가 이익으로 이어지는 조건을 따로 확인해야 합니다.","description":null},"en":{"alt":"A female technician connects a yellow fiber-optic cable to a rack-mounted network switch in a data center.","caption":"For telecom infrastructure, check how each company’s orders translate into earnings.","description":null},"ja":{"alt":"データセンターで、ラックに設置されたネットワークスイッチに黄色い光ファイバーケーブルを接続する女性技術者","caption":"通信インフラでは、各企業の受注が利益につながる条件を個別に確認する必要があります。","description":null},"es":{"alt":"Una técnica conecta un cable amarillo de fibra óptica a un conmutador de red en un centro de datos.","caption":"En infraestructura de telecomunicaciones, hay que verificar cómo los pedidos de cada empresa se traducen en beneficios.","description":null},"id":{"alt":"Teknisi perempuan menghubungkan kabel serat optik kuning ke switch jaringan di pusat data.","caption":"Untuk infrastruktur telekomunikasi, periksa syarat agar pesanan tiap perusahaan dapat menghasilkan laba.","description":null},"pt":{"alt":"Uma técnica conecta um cabo amarelo de fibra óptica a um switch de rede em um data center.","caption":"Na infraestrutura de telecomunicações, é preciso verificar como os pedidos de cada empresa se convertem em lucro.","description":null},"zh-hant":{"alt":"一名女性技術人員在資料中心，將黃色光纖纜線接上機架內的網路交換器","caption":"投資通訊基礎設施，須個別確認各企業的訂單轉化為獲利的條件。","description":null},"de":{"alt":"Eine Technikerin verbindet ein gelbes Glasfaserkabel mit einem Netzwerk-Switch im Rechenzentrum.","caption":"Bei Telekommunikationsinfrastruktur ist für jedes Unternehmen zu prüfen, unter welchen Bedingungen Aufträge zu Gewinnen führen.","description":null}}}],"published_at":"2026-11-04T13:54:57+09:00","updated_at":"2026-11-04T13:54:57+09:00","license":"cc_by","translation_status":"reviewed","available_locales":["ko","en","ja","es"],"data_locales":["ko","en","ja","es","id","pt","zh-hant","de"],"url":"https://injoys.com/en/articles/stock-investing-2026-earnings-liquidity-guide"}