Investment Report: Proves Defensive Strength with 60% Cumulative Returns Amid Semiconductor Correction

[Daily Market Insight] What Remains Amid the Semiconductor Correction Is Not 'Chasing Moves' but Valuation

The Seoul market took a breather on the morning of the 14th. The KOSPI stayed below the 6,000 mark, while the KOSDAQ pulled back with a decline of around 1.5%. The Philadelphia Semiconductor Index fell more than 2% intraday, sending a chill across global tech stocks. Yet the AI value-investing portfolio maintained a 60% cumulative return, refusing to cross the line even amid the storm. Assets that had topped $17,100 five days earlier shrank somewhat during the correction, but on the 14th they managed a modest rebound from the previous day, proving their defensive strength. It is evidence that the portfolio's structure, centered on undervalued stocks, did not crumble in the face of short-term volatility.

Tracing the flow, the portfolio's approach is clear. It has repeatedly reallocated by harvesting gains from leveraged products and moving those funds into individual stocks whose prices remain reasonable relative to growth. When the semiconductor index plunged on the 9th, it trimmed part of its triple-leveraged SOXL to control volatility and scaled back the Nasdaq triple-leveraged TQQQ the same day. Micron, having fallen sharply in the short term, was instead treated as an opportunity for additional staged buying. It is a contrarian approach that embraces undervalued assets as fear grows, and it has been the main driver of the cumulative gains.

Holdings Review

Stock	Quantity	Purchase Price	Current Price	P/E
Nvidia	26.59 shares	$184.21	$228.52	28.9
AMD	7.17 shares	$198.62	$605.53	154.5
Broadcom	5.67 shares	$326.03	$357.31	44.8
Micron	0.52 shares	$997.21	$953.19	12.8
SOXL	13.92 shares	$71.22	$127.57	-
Amazon	1.95 shares	$208.39	$258.58	20.8
Intel	2.80 shares	$104.56	$102.81	-
Meta	0.55 shares	$653.56	$762.50	28.7
TQQQ	1.13 shares	$76.34	$78.81	-

The portfolio's two pillars are Nvidia and AMD. Nvidia's PEG ratio—a gauge of price level relative to growth—stands at just 0.28, suggesting its growth is outpacing its valuation. AMD's net-income-based P/E of over 150 may look burdensome, but with a PEG in the 0.6 range, it is hard to call it overvalued when factoring in its growth pace. That said, Intel, still in the early stages of turning profitable, along with the two leveraged holdings, remains subject to volatility management. Micron, with a P/E of 12.8 and a PEG of 0.16, is a prime example of an undervalued play whose price has not yet fully priced in the benefits of the memory supercycle.

Recent Trade Review

Date	Type	Stock	Quantity	Price
2026-10-09	Buy	Micron	0.11 shares	$1,035.84
2026-10-09	Sell	TQQQ	0.06 shares	$80.23
2026-10-09	Sell	SOXL	0.73 shares	$142.52
2026-09-18	Buy	Micron	0.19 shares	$977.50
2026-09-18	Sell	SOXL	0.77 shares	$114.82
2026-08-28	Sell	SOXL	0.81 shares	$123.05

The intent behind the trades on the 9th is clear: reduce leverage in a declining market and shift funds to individual stocks with stronger undervaluation logic within the same sector. The process of taking profits on Micron and then rebuying is assessed as disciplined rebalancing—locking in gains from the surge while re-entering on dips.

The key variables ahead are the U.S. 10-year Treasury yield, which has climbed to 5.3%, and oil prices, which have touched the $95 level. In a phase where rate pressure weighs on tech valuations, whether the portfolio's undervaluation edge on a PEG basis holds will determine its returns. With the VIX holding in the low 15s, this is not a panic phase, and if proactive risk management continues, the portfolio's upward momentum is likely to persist for some time.

※ This report analyzes the simulated trading record of the AI value-investing portfolio and is not investment advice. Actual investments should be made at your own discretion and responsibility.