AI Value Investing Report: 60% Gains on KOSPI 7400 Run with Stable Upward Trend

KOSPI at 7,400: 'AI Value Portfolio' Marches to 60% Gains

In July, the Seoul financial district was filled with a mix of anticipation and caution, the calm before the storm. As the KOSPI index surpassed 7,400 points, continuing its historic march to all-time highs, investors' eyes are shifting beyond simple index gains to the 'real winners' that capture both fundamental substance and future growth potential. Amid this heated market sentiment, a portfolio that has recorded overwhelming returns without compromising the fundamentals of valuation is garnering attention. The protagonist is the 'AI Value Portfolio,' which has achieved a return of over 60% on initial capital (current total assets $16,096), drawing a stable upward-trending graph.

Alpha Captured at the Intersection of Growth and Value

The portfolio's asset flow over the last 5 days demonstrates that it is not merely riding the market tide. Even as U.S. 10-year Treasury yields rose to the mid-4.5% range, pressuring the valuation expansion of tech stocks, this portfolio proved its resilience by starting around $15,200 and surpassing $16,000. This is attributed not to blind tech stock investment, but to the selection of undervalued AI growth drivers through thorough PEG (Price/Earnings-to-Growth) analysis. The realization of profits on some of the semiconductor leverage that surged in July, combined with the aggressive capture of additional upside momentum through inverse ETFs like TQQQ, offers a glimpse into the savvy of a veteran investor.

Holding Diagnosis: Reading 'Fundamentals' via PER and PEG

The portfolio's core holdings are building solid substance at the 'heart of AI.' The most notable stock is Micron (MU). With a PER of 22.4x and a miraculous PEG of 0.14, it boasts defensive power with solid earnings per share (EPS) of $44.23, even in a high-interest rate environment that concerns the market. Micron's low PEG suggests that the current stock price is unreasonably undervalued relative to its growth potential.

NVIDIA (NVDA) and Broadcom (AVGO) also form the two pillars of the portfolio. NVIDIA maintains an attractive valuation range with a PER of 31.1x and a PEG of 0.63, while AVGO covers high growth expectations expected by the market with a low PEG of 0.44 despite a somewhat high PER of 66.6x. Conversely, AMD shows a somewhat burdensome valuation with a PER of 172.5x, necessitating future earnings surprises. This portfolio's composition, which bets on 'numbers' rather than themes, can be evaluated as a hybrid strategy that used high-volatility instruments like TQQQ and SOXL to add elasticity to market trends, while maintaining its center through the solid EPS of core holdings.

Ticker	Qty	Buy Price	Current Price	PER
AVGO (Broadcom)	5.67	$326.03	$401.11	66.6
AMD	7.17	$198.62	$546.72	172.5
MU (Micron)	0.25	$996.00	$991.64	22.4
NVDA (NVIDIA)	25.76	$183.15	$202.78	31.1
META (Meta)	0.93	$653.56	$631.48	23.0
AMZN (Amazon)	1.95	$208.39	$247.04	31.6
SOXL	16.30	$61.36	$192.45	32.7
TQQQ	2.86	$76.34	$76.34	39.1

The Aesthetics of Strategic Portfolio Management

Examining recent trading history reveals a delicate balance between 'profit taking' and 'chasing momentum.' The decision to sell portions of Amazon (AMZN) and Meta (META) on July 3, when they showed positive momentum, to rebalance the portfolio serves as a safety mechanism to preemptively block potential concentration risks. Conversely, buying SOXL on the same day during a dip to aggressively utilize volatility, or buying TQQQ on July 10 to capture the Nasdaq's additional rise, shows a determination not to miss the strong tech-centric trend. Specifically, the purchase of Micron (MU) in early June, citing a "very low PEG ratio" as the basis, proves that this portfolio follows a cold, numbers-based investment logic rather than market noise.

Date	Type	Ticker	Qty	Price
2026-07-10	Buy	TQQQ	2.86	$76.34
2026-07-10	Sell	SOXL	0.86	$192.45
2026-07-03	Sell	AMZN	0.10	$242.67
2026-07-03	Sell	META	0.05	$582.90
2026-06-26	Buy	NVDA	1.29	$195.74
2026-06-19	Sell	SOXL	0.90	$279.29
2026-06-05	Buy	MU (Micron)	0.25	$996.00

Riding the Waves of Volatility

The market today regained stability as the Dow Jones and Nasdaq rose together, yet the decoupling from the Korean market remains, evidenced by the plunge in the KOSPI 200 futures index. While the drop in the USD/KRW exchange rate to the 1,499 won range is positive for the earnings of export-driven Korean companies, it could widen the scope of volatility in terms of capital flows. The 'AI Value Portfolio' has built a defensive line centered on stocks with thoroughly low PEGs and solid EPS amidst headwinds of high interest rates and global economic uncertainty. The current return of 61% is not luck, but the result of maintaining a balance between value and growth.

※ This report analyzes the simulated operation history of the AI Value Portfolio and does not constitute investment advice. Actual investments should be made at your own discretion and responsibility.