Samsung has joined rivals Apple in a share slide after JPMorgan cut its profit outlook for the South Korean firm amidst weak demand for its flagship Galaxy S4 device in Europe.
The move saw Samsung’s shares slide 5.5 per cent during early trading in Seoul, taking the price to a four month low of 1,438,000 won.
Analysts project that European sales of the phone could be as much as 30 per cent lower than previously forecast although it is still expected to ship 7 to 8 million units per month from July.
JPMorgan has lowered its earnings forecast by 9 per cent for the technology giant after finding that ‘peak quarter’ sales were ‘way below our previous estimates’.
In recent months Samsung has sought to shift its focus from high end products to the mid and low ends of the market to compete with Chinese rivals, although though these have much lower profit margins.