Why Memory Shortage, Not Just AI Hype, Is Forcing a Rethink on SK Hynix
Published on 05/28/2026 at 06:32 | Redaktion boerse-global.de
Investors betting on SK Hynix have long ridden the wave of artificial intelligence euphoria. But the real story behind the chipmaker’s latest milestone — a market capitalisation above $1 trillion — runs deeper than Nvidia’s next product cycle. It is rooted in a fundamental supply crunch that analysts now believe could last until 2028.
Mirae Asset Securities was the latest to crystallise that view. Analyst Kim Young-gun lifted his price target on SK Hynix by 18.8 percent to 3.8 million won, arguing that demand for memory chips — DRAM, NAND and especially High Bandwidth Memory — is outpacing supply in a structural shift. He also raised Samsung Electronics’ target by 14.6 percent to 550,000 won, underscoring a broad re-rating of the sector.
That re-rating is backed by steep price increases. Kim expects DRAM average selling prices to climb 184 percent this year and NAND prices to surge 231 percent. The numbers reflect a market where AI data centres are hoovering up high-end memory while traditional end-markets such as smartphones, laptops and automobiles compete for residual capacity. In the first quarter alone, chip prices doubled from the prior period; the current quarter is projected to deliver another increase of up to 63 percent.
SK Hynix has already demonstrated what that pricing power does to the bottom line. First-quarter revenue tripled to 52.6 trillion won, operating margin hit 72 percent, and net profit exploded roughly 400 percent to 40.35 trillion won. The company commands up to 62 percent of the HBM market, and its entire 2026 production of the premium memory is sold out.
Should investors sell immediately? Or is it worth buying SK Hynix?
The stock has raced ahead to reflect that fundamental story. Wednesday saw shares touch an intraday record of 2,358,000 won, a 14.9 percent spike, before closing 9.3 percent higher at 2,243,000 won. The following session pushed the 52-week high to 2,258,000 won. Year-to-date, the gain stands at 233.53 percent, while the one-month advance clocks in at 73.69 percent. The price now sits roughly 70 percent above its 50-day moving average, with a relative strength index of 68.9 — flashing momentum alongside elevated risk.
That risk is priced not just in the shares but in the market’s fear gauge. Korea’s VKOSPI volatility index has jumped to 70.83, and SK Hynix’s annualised stock volatility sits at 78 percent. The company has more than tripled in value in six months, leaving little room for disappointment.
Still, the pipeline of catalysts is full. SK Hynix has begun mass production of 192GB memory modules for Nvidia’s upcoming “Vera Rubin” architecture and is expected to supply 70 percent of Nvidia’s HBM4 needs. Senior executives are set to meet Nvidia CEO Jensen Huang in Taipei in early June to lock in further commitments. Domestically, the company is pouring 19 trillion won into a new fabrication plant, dubbed M15X, and has placed an order worth nearly 12 trillion won for ASML lithography equipment.
SK Hynix at a turning point? This analysis reveals what investors need to know now.
The global fund-raising push continues. A US American Depositary Receipt listing is planned for June or July, a move designed to attract international capital. Retail investors have already piled in through new leveraged single-stock ETFs in South Korea, which surged on their debut, and through a US ETF that holds both SK Hynix and Samsung. Interestingly, financial investors bought a net 1.3 trillion won of Korean equities, while foreign institutions were net sellers — a pattern that suggests the rally is being fuelled more by domestic belief in the memory cycle than by overseas enthusiasm.
The stakes are high. Mirae Asset and Barclays both characterise the memory boom as structural, with supply constraints likely to persist through at least 2028. SK Hynix’s own management expects chip demand to remain above supply for the next three years. If those forecasts hold, the stock’s elevated multiples will find solid ground. If the pricing momentum falters, the reckoning for a stock that has already priced in years of future growth could be swift. The next key data points will be the memory price surveys for the coming quarters — and whether the supply narrative can continue to justify the trillion-dollar valuation.
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SK Hynix Stock: New Analysis - 28 May
Fresh SK Hynix information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
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