Samsung vows more aggressive investment, targets iPad

Written by Agencies | Seoul | Updated: Nov 7 2013, 06:59am hrs
Samsung Electronics pledged to double its dividend yield, invest in new technology and boost marketing to topple Apple in the mobile sector as it sought to ease investors concerns over its sagging share price.

The worlds leading maker of smartphones, memory chips and televisions outlined its strategy on Wednesday at a rare meeting with analysts designed to reassure investors that it is listening to complaints about low returns and poor use of capital.

The second analyst meeting of its kind in eight years came after a string of record quarterly profits, which have fed a cash pile totalling $50 billion as of September without arresting a 4.7% slide in the share price this year.

Our management view is that our product valuation multiple does not truly reflect our earnings growth and leadership position in the IT industry, CFO Lee Sang-hoon said in Seoul.

Samsungs goal after overtaking Apple in smartphones is to be world No. 1 in tablet computers too. Samsungs tablet business is growing rapidly and the company will become the biggest maker of tablet computers, another top executive said, without giving a timeframe.