Goldman Sachs Cuts South Korea Kospi Index Target to 9,000

Goldman Sachs Group Inc. strategists reduced their 12-month target for South Korea's Kospi Index from 12,000 to 9,000. This 25% cut follows a series of target increases earlier this year and reflects intensifying concerns regarding the artificial intelligence trade.

The benchmark index has declined more than 35% from its June peak, prompting analysts to apply more conservative valuation assumptions. Despite the downward revision, strategists at the investment bank maintain that South Korean equities are currently highly undervalued. They noted that the revised target of 9,000 still indicates a potential upside of more than 60% from current market levels.