SK hynix surged past 1.4 million won, setting an all-time intraday high. The upbeat earnings of global big tech companies and expectations of expanded investment in artificial intelligence (AI) capital expenditures (CAPEX) appear to have boosted investor sentiment.
As of 11:40 a.m., SK hynix was trading at 1.42 million won on the Korea Exchange, up 134,000 won (10.42%) from the previous session. Its market capitalization also topped 1,000 trillion won. It is the second among KOSPI-listed stocks after Samsung Electronics.
The rally also seems to reflect the strength in New York stocks, led by tech shares, while the domestic market was closed. The Philadelphia Semiconductor Index rose 2.26% and 0.87% on the 30th of last month and on the 1st, U.S. Eastern time.
Eugene Investment & Securities newly set SK hynix's target price at 2.3 million won on the day. It projected second-quarter sales and operating profit this year at 82.3 trillion won and 63.7 trillion won, respectively.
Son In-jun of Eugene Investment & Securities said, "Even the currently expected increase in server demand alone will deepen supply shortages in 2027," and added, "The recovery of this year's sluggish smartphone and PC unit demand and content growth will further intensify the shortages."
He also analyzed that "memory companies are selecting key customers and negotiating long-term supply agreements (LTA) under quite favorable conditions based on a minimum price guarantee mechanism."
Alongside SK hynix, other group stocks are broadly rallying. SK Square jumped into the 13% range from the previous session to as high as 959,000 won, drawing attention to whether it will become an "emperor stock" (a stock priced over 1 million won per share). SK was also up 8.94% at the same time.