SK Hynix: HBM4 Production Ramps Up as Seoul Shares See Sharp Correction After Record Nasdaq Listing
Published on 07/14/2026 at 06:05 | Redaktion boerse-global.de
SK Hynix has quietly reached a production milestone that could reshape its position in the AI memory market, even as its stock suffers one of the steepest declines in recent memory. The South Korean chipmaker began mass-producing 12-layer HBM4 chips for Nvidia in late June, according to reports from Korean outlet The Bell, confirmed by DIGITIMES. That puts the company ahead of rivals Samsung and Micron in the next-generation high-bandwidth memory race. Counterpoint Research expects SK Hynix to command roughly 54% of the global HBM4 market by 2026.
Yet the share price tells a different story. After closing at 1,845,000 won on Monday, the stock has lost 19.13% in seven days and 22.20% over the past month. That positions it 40.41% below its 52-week high of 2,987,000 won, set on June 25. On Monday alone, the Seoul-listed shares plunged 15.37% — the largest single-day drop on record, coming just three days after the company’s blockbuster Nasdaq debut.
The U.S. listing itself was historic. On July 10, SK Hynix raised $26.5 billion through American Depositary Receipts, the biggest-ever initial public offering by a foreign company on the Nasdaq. The ADRs rose 13% on their first day. But in Seoul, the euphoria quickly soured. Investors who had ridden a blistering rally through the first half of the year took profits, and the selling pressure intensified as a mechanical factor came into play: the ADR premium surged to around 37%, creating a textbook arbitrage opportunity for institutions to sell the cheaper Seoul shares and hold the New York-listed securities.
Should investors sell immediately? Or is it worth buying SK Hynix?
That wasn't the only headwind. Korea Investment & Securities issued a forecast that second-quarter operating profit would come in at 60.4 trillion won, roughly 8% below the market consensus of 65 trillion won. The miss, if confirmed, raises questions about whether SK Hynix's heavy reliance on fixed-price HBM contracts is capping its ability to benefit from the broader DRAM price rally, which saw 30% increases in the same period.
The company's response has been to double down on capacity. The $26.5 billion raised in the U.S. will flow into the Yongin semiconductor cluster, the M15X fab in Cheongju, and an advanced packaging plant in Indiana. CEO Kwak Noh-jung has described a structural memory shortage that could persist through 2030, and the HBM4 ramp is central to that bet.
Technically, the stock is bruised but not broken. The 14-day relative strength index sits at 37.3, firmly in oversold territory, while the 30-day annualized volatility has spiked to 123.25%. The shares are trading 17.70% below their 50-day moving average of 2,162,824.51 won, though they remain well above the 100-day average of 1,586,410.66 won. The 52-week low of 420,500 won, set in October 2025, still leaves a cushion of over 320%.
Two catalysts will determine whether the correction deepens or reverses. The first is the second-quarter earnings report due July 29, just 16 days after the start of regular U.S. trading under the ticker SKHY and a day after options begin trading in New York. A clear beat on the 60.4 trillion won operating profit estimate would ease margin concerns. The second is the broader HBM4 production scale-up expected in September 2026, which should confirm that the next growth cycle is materializing. Should those numbers disappoint, profit estimates for 2027 could face further cuts. But if demand holds through the decade, the current sell-off may prove to be a sharp correction within a longer-term upswing — one that began with SK Hynix already delivering the memory chips that power Nvidia’s H100, H200, and Blackwell systems.
Ad
SK Hynix Stock: New Analysis - 14 July
Fresh SK Hynix information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
Disclaimer regarding our articles: No investment advice, no buy or sell recommendation. Information on prices, companies, and markets is provided without guarantee; changes are possible at any time. Stock market transactions can lead to substantial losses. Our articles are created and reviewed in whole or in part automatically with the support of AI.
