Naver and Kakao, once hailed as the country’s flagship IT blue chips and leading artificial intelligence (AI) players, have largely failed to join the recent KOSPI rally, even as the benchmark index has continued to climb and fuel optimism it could hit 5,000 points. According to the Korea Exchange Monday, Kakao’s shares fell 4.7 percent from the start of 2026 through last Friday, while Naver posted a gain of just over 1 percent, sharply underperforming compared to the broader market. KOSPI closed above the 4,800 level on Friday to set fresh record highs. Data from NH Investment and Securities showed that nearly 90 percent of Kakao investors are currently in the red, with an average return of minus 29.57 percent. Naver is little better off, with 75.3 percent of its investors sitting on losses and an average return of minus 9.38 percent. Kakao’s stock hit an all-time high of 173,000 won ($117) on June 24, 2021, during the market surge at the height of the COVID-19 pandemic, but has trended downward ever since. Naver, meanwhile, surged to around 300,000 won last June following the lau