Samsung Electronics Co.'s planned shareholder-return program is fueling expectations that the company could repurchase discounted preferred shares, which trade about 26% below common stock. Buying and retiring the lower-priced shares would allow Samsung to cancel more shares with the same amount of capital, reduce future dividend costs and potentially narrow the valuation gap. The discount has narrowed from 37% amid buyback expectations but remains at its widest level in more than a decade. Samsung last month announced a shareholder-return plan worth up to 110 trillion won ($81.8 billion) through 2030, without specifying the amount earmarked for buybacks. Repurchasing non-voting preferred shares could also help Samsung avoid ownership constraints affecting its financial affiliates, which face a 10% limit on voting common-stock holdings under South Korean law. More than 100 South Korean companies, including Hyundai Motor Co. and LG Chem Ltd., have issued preferred shares, which trade at an average discount of about 45% to common stock. Investors say Samsung's strategy could prompt a broader reassessment of preferred-share valuations and the Korea discount.