Samsung Electronics has started the year on a weak footing, as quarterly sales and operating profit forecasts disappointed expectations.
Declining memory chip prices are turning out to be a major headache for investors, clouding the outlook for 2018.
Rivals such as US-listed Western Digital are posing a growing competitive threat.
Samsung said it expected fourth-quarter operating profit of 15.1 trillion won ($14bn), a jump of nearly 65% compared with the prior year.
However, the estimate disappointed analysts´ forecasts, as falling memory chip prices crimp the positive revenue impact of stellar sales growth.
Samsung Electronics shares were rocked by the latest update, appearing on course to notch up another weak of losses. The stock is already down by nearly 6% this year.
Intensifying competition from the likes of SK Hynix and Western Digital has put a dampener on memory chip prices.