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SK Group chairman Choi Tae-won responds to the recent drop in share price: Supported by demand for memory chips, the share price will rise in the long term
BlockBeats, July 17: SK Group chairman Choi Tae-won believes that supported by demand for memory chips, SK Hynix’s stock price will follow a long-term uptrend. “Demand for memory chips is growing exponentially, which is why SK Hynix and Samsung Electronics’ stock prices have surged rapidly since last year,” he said at a forum hosted by the Federation of Korean Industries on Friday.
When asked about the recent stock price drop, he said that stock prices usually rise with market expectations, then pull back after a period of excessive gains. “I believe demand for memory chips will continue to exist, so the stock price trend will show an upward direction over time,” he said. Xiaocai note: On Thursday, as South Korean authorities imposed restrictions on leverage funds that track chipmakers, SK Hynix and Samsung shares fell 12% and 8.8%, respectively.