SK Hynix Races to Double Output as Nvidia Chief Returns for Fourth Round of Talks in Six Months
04.06.2026 - 21:14:55 | boerse-global.deNvidia’s Jensen Huang is heading back to Seoul this week for what would be his fourth face-to-face with SK Group Chairman Chey Tae-won in just half a year. The pair last met in early June in Taipei, where Huang outlined the mass-production timetable for Nvidia’s Vera Rubin AI platform before breaking off for private business discussions with SK Hynix executives. The sheer frequency of these encounters — spanning Silicon Valley, San Jose and now Korea — lays bare how tightly Nvidia is tethered to its memory suppliers, who together with Samsung provide roughly 70 percent of the storage chips used in AI accelerators.
The sizzling demand for that memory is the backdrop to SK Hynix’s planned US listing, which could raise as much as $14 billion through an American Depositary Receipt offering. Investor feedback on the confidential IPO filing, already submitted to the Securities and Exchange Commission, has been described as “overwhelmingly positive.” The deal is still slated for 2026, with final size and timing yet to be fixed. KB Securities expects the US listing to trigger a re-rating of the domestic shares, given that only about 2.4 percent dilution is needed to draw in a flood of global passive funds. The valuation gap with US peers is stark: SK Hynix trades at a forward price-to-earnings ratio of just 3 to 4, against Micron’s 8 times and SanDisk’s 19 times. A New York floor could help close that chasm.
Management’s pricing outlook adds to the bullish case. The favorable price environment for high-bandwidth memory (HBM) — the critical component in Nvidia’s chips — is expected to persist into next year, with customer negotiations already under way. More striking is the supply squeeze brewing in LPDDR, the low-power memory Nvidia will need in huge volumes for its upcoming Vera Rubin platform. Starting in 2027, demand could outstrip supply so sharply that SK Hynix warned it may not be able to fully satisfy all orders, even as it adjusts investment and product mix.
Should investors sell immediately? Or is it worth buying SK Hynix?
To get ahead of that crunch, SK Group Chairman Chey Tae-won announced at Computex in Taipei that wafer production capacity will double within five years. The expansion will require billions of dollars in spending, with new fabrication plants rising in Cheongju, the Yongin semiconductor cluster, and an advanced-packaging facility in the United States. Last year’s capital expenditure of 30.2 trillion won will be exceeded by a wide margin as the company races to lock in the capacity needed to meet AI-driven demand that the company sees lasting until 2030.
The market has already priced in much of the euphoria. SK Hynix shares have more than quadrupled since October 2025 and gained 239 percent year to date. On Thursday the stock slipped 2.6 percent to 2,298,000 won, a pullback that leaves it roughly 4.5 percent below its all-time high of 2,407,000 won touched on June 2. The relative strength index of 76 signals technical overheating — a reason for the dip, analysts say, but one that does not threaten the underlying uptrend. The next big test for the valuation will come when the final ADR prospectus lands, revealing the exact offer size and price range. Only then will it be clear whether Wall Street’s enthusiasm translates into hard subscription orders.
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SK Hynix Stock: New Analysis - 4 June
Fresh SK Hynix information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
