Morgan Stanley said the steepest correction in memory-chip stocks appears over and that current valuations offer an attractive tactical re-entry point, describing the recent selloff as a small bump in a maturing cycle. The bank kept its price targets on SK Hynix and Samsung Electronics at 2.6 million won and 375,000 won, respectively, raised its fiscal 2026 EPS estimate for SK Hynix by 13% and cut Samsung Electronics by 10%, while saying share buybacks and other shareholder returns could drive further gains. It also warned that memory-price increases may slow from the fourth quarter as inventories and supply rise, limiting room for further earnings upgrades, even as it stays positive on AI-related capital expenditure. The call has stood in contrast to trading activity on South Korea's market, where Morgan Stanley, JPMorgan and Goldman Sachs have appeared among notable net sellers of Samsung Electronics and SK Hynix despite publishing constructive views on valuations. Industry participants say that mismatch often reflects the way brokerages execute client orders, with trades recorded under the broker's name even when they originate from outside investors. South Korean market volatility has eased from June's peak, but foreign funds have continued to pull money, suggesting overseas investors are still waiting for clearer evidence that price discovery has normalized.