Samsung Electronics signaled it could return as much as 110 trillion won (about $78.9 billion) to shareholders by 2026, a payout roughly five times its previous annual record. The announcement came as the artificial intelligence boom drives robust demand for memory chips, boosting the company's cash generation.
Samsung's record buyback plan
In a regulatory filing on Friday, Samsung said shareholder returns could range between 90 trillion won and 110 trillion won (approximately $64.5 billion to $78.9 billion) in 2026. That would dwarf its earlier annual record and follows SK Hynix's decision to buy back and cancel 40 trillion won of shares. SK Hynix also raised its shareholder-return policy to at least 50% of cumulative free cash flow for 2025-2027.
Samsung's existing 2024-2026 policy calls for returning 50% of free cash flow, including 9.8 trillion won in regular annual dividends. The company also plans to spend more than 110 trillion won on facilities and R&D in 2026, including investments in advanced semiconductor technologies.
KB Securities research head Kim Dong-won noted that Samsung's free cash flow is rising rapidly because of the AI-memory boom. He added that future valuation gains could increasingly depend on how the company distributes its cash. The move echoes a broader trend among memory chip makers, as a wave of buybacks from Samsung and SK Hynix could lift DRAM-focused ETFs.
Bitcoin extends powerful weekly rally
Bitcoin was on track for its strongest weekly performance in more than two years, rising about 22% for the week and trading near $77,169. The cryptocurrency has benefited from several catalysts, including the US Treasury's decision to increase longer-duration debt buybacks, which pushed bond yields lower initially and supported risk-sensitive assets.
President Donald Trump also called for Congress to pass legislation that would establish a regulatory framework for cryptocurrencies. The bill faces a procedural vote on September 15. Short covering added to the rally, with more than $1.2 billion in Bitcoin short positions liquidated, according to Fundstrat. The gains spread to crypto-related equities: Robinhood rose 13%, Coinbase gained 7.9%, and Strategy advanced 6.2%.
Analysts said Bitcoin's rally is also being supported by spot and exchange-traded fund demand, although some cautioned that the cryptocurrency would need to remain above $70,000 for the rally to demonstrate greater durability. The surge in digital assets also lifted Coinbase stock, which jumped 8% on the back of Trump's support for the CLARITY Act.
Oil rises as Iran tensions escalate
Brent crude rose 0.76% to $94.49 a barrel, while West Texas Intermediate gained 0.33% to $87.12. Both benchmarks were heading for weekly gains, with Brent up more than 6% and WTI more than 5% during the week. Oil prices have been supported by concerns about supply disruptions as tensions between the US and Iran persist.
President Trump threatened economic sanctions on Iran's trading partners, while Tehran warned that its response to further US threats would be severe. Shipping through the Strait of Hormuz also remained heavily disrupted—seven commodity ships crossed the waterway on Thursday, according to Kpler data, down from the previous day's tally. However, alternative supplies from sources including US shale, pipelines, and other producers have helped offset some of the disruption.
Gold reaches three-month high
Gold climbed 2.4% to $4,623.94 an ounce, after earlier touching $4,631.99, its highest level since May 15. The metal was on track for a third consecutive weekly gain, with prices rising more than 5% during the week. Gold has benefited from a weaker US dollar and expectations that the Federal Reserve's policy outlook could remain less restrictive.
The metal also moved above its 200-day moving average of around $4,513, a level viewed by technical analysts as significant. TD Securities' global head of commodity strategy Bart Melek said the move was driven partly by technical factors and the weaker dollar. Goldman Sachs also pointed to stronger demand for gold call options and renewed interest in the metal as a hedge against macroeconomic and policy risks. Silver, platinum, and palladium also advanced on Friday and were heading for weekly gains.
This article is for informational purposes only and does not constitute financial advice.
