Hana Financial Investment noted on the 10th that amid supply constraints due to the memory three companies limiting DRAM supply and NAND production cuts, the normalization period for industry inventory levels is expected to be advanced due to increased cargo volumes more than anticipated. Accordingly, the investment opinion is 'buy,' maintaining the target stock price at 290,000 won. The previous day, the closing price of SK hynix was 165,000 won.
Hana Financial Investment projected SK hynix's sales for the first quarter of this year at 18 trillion won and operating profit at 6.7 trillion won. Kim Rok-ho, a Research Institute employee at Hana Financial Investment, explained, "SK hynix's blended average selling price (ASP) for DRAM is differentiated from other companies due to the demand for HBM, and as a result, it is judged to have generated solid profits despite the off-season."
Kim raised the operating profit forecast for SK hynix this year to between 33.7 trillion won and 36.2 trillion won, an increase of 7%. He said, "In the case of DRAM, considering the high profitability of HBM and the price increase period of general DRAM, a high operating profit margin is also possible," adding, "However, by raising the annual capital expenditure (CAPEX) forecast from 21 trillion won to 27 trillion won, he reflected the increase in depreciation expenses."
He analyzed, "Due to macro uncertainties, a typical multiple decline is underway," and "because concerns about demand have increased and confidence has decreased, some decline in stock prices is inevitable." Over the past two weeks, SK hynix's stock price has fallen by about 23%.
He explained, "The negative impacts of tariffs and demand instability will inevitably affect all related industries indiscriminately," adding, "However, since the supply of memory semiconductors is restricted, it is highly likely to be a sector with greater visibility compared to others, and even in a period of decreased confidence in performance, it can be utilized as an opportunity to expand positions in light of short-term overcorrection."