Korean securities firms show diverging views on SK Hynix’s outlook, with the core disagreement centered on whether AI demand can drive long-term growth.

Odaily Planet Daily News Korean securities firms show diverging views on SK Hynix’s outlook, with the core disagreement centered on whether AI storage demand can drive long-term growth. KB Securities maintains a "buy" rating on SK Hynix. Based on TSMC's 1997 ADR listing in the US as a precedent, KB Securities judges that SK Hynix's ADR listing will increase global investor participation and is expected to drive a re-rating of both the ADR and SK Hynix's domestic shares. KB Securities also forecasts that global DRAM and NAND wafer capacity growth will be only 7% and 4% in 2027, respectively, lower than the demand growth rates of 17% and 19%. It believes that the tight memory supply situation may worsen compared to 2026.

BNK Investment & Securities, however, argues that the logic of hyperscale cloud service providers continuously increasing AI infrastructure investment is weakening and that the ADR listing will not significantly change SK Hynix's domestic share valuation. (Etoday)