June 13, 2013 11:01
A Samsung executive on Wednesday downplayed claims by investment bank JP Morgan that the electronics giant's latest smartphone is selling worse than expected, which sent share prices tumbling.
Shin Jong-kyun, the head of Samsung's mobile communications business, told reporters JP Morgan "had excessively high expectations and simply lowered them, so we are not particularly alarmed by every little incident."
The controversial investment bank said sales of Samsung's Galaxy S4 are dropping sharply and lowered its sales forecast from 80 million units to 60 million. It forecast that Samsung's operating profit will fall after the third quarter as a result.
On Wednesday, Samsung shares fell another 0.29 percent to close at W1.385 million (US$1=W1,133), the lowest since Jan. 28. Samsung's total market cap, which stood at W226.8 trillion on June 4, fell to W204 trillion in just five days.
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