2025 Outlook for the Korean Stock Market

In 2024, the Korean stock market ranked dead last in the world in performance.
Many investors rushed to exit the Korean market.
However, with a new administration coming in 2025, we can hope for a honeymoon rally, so we have summarized reports on the 2025 stock outlook and promising sectors for the new year.
Hoping that the Korean stock market regains strength in 2025 as the martial law and impeachment turmoil stabilizes, let's look at which sectors each securities firm recommended.

Korea Investment & Securities
First half : Financials, food & beverages, telecommunications, utilities
Second half : Chemicals, energy, steel, energy

NH Investment & Securities
Food & beverages, cosmetics, pharma/bio, AI semiconductors, AI services, power equipment, nuclear power, construction, entertainment

Samsung Securities
Semiconductors, industrials, utilities, airlines

KB Securities
High-dividend stocks (financials), bio, space & defense, autonomous driving, nuclear power

Meritz Securities
Bio, shipbuilding, defense, machinery, banks

Kiwoom Securities
Bio, defense, semiconductors, financials, internet, shipbuilding

The sectors most commonly recommended were financials, defense and bio.
Among these, the bio sector was mentioned the most.
The reason given is that the sector is expected to benefit from the expansion of the domestic contract development and manufacturing (CDMO) market and, relatively, from U.S. measures to check China.