#SKHynixEarningsMissTriggerPostMarketDrop

SK Hynix just reported the numbers they have ever had.. The market still sold off SK Hynix stock.

SK Hynix said they made a lot of money in the quarter. They made 79.32 trillion KRW in revenue from selling SK Hynix products. Their operating profit was 60.54 trillion KRW, which's 557% more than SK Hynix made last year. This was a quarter for SK Hynix.

With these great numbers the SK Hynix stock price fell more than 8% after the market closed.

The reason the market was not happy was not because people are not buying SK Hynix memory chips. The problem was with the contracts SK Hynix has with its customers. A lot of the memory chips SK Hynix sells are under long-term contracts that were signed earlier. These contracts say how much the customer will pay for the SK Hynix memory chips.

Though these contracts mean SK Hynix knows it will sell a lot of SK Hynix memory chips they also mean that SK Hynix cannot charge much money as it would like for the SK Hynix memory chips. During the quarter the price of some SK Hynix memory chips went up a lot. SK Hynix could not charge its customers these prices because of the contracts. The market was expecting SK Hynix to make money from these prices of SK Hynix memory chips. When that did not happen the market was disappointed.

SK Hynix also said that it is now making a kind of SK Hynix memory chip called HBM4. This is news for the SK Hynix company. It means that SK Hynix will still be able to sell a lot of SK Hynix memory chips to companies that are making intelligence products.

The problem SK Hynix is having now is not that people do not want to buy SK Hynix memory chips. The problem is that it takes some time for SK Hynix to start charging prices for its SK Hynix memory chips.

It is possible for a company like SK Hynix to have numbers and still disappoint the market. That is what happened to SK Hynix. The SK Hynix company made a lot of money. The market was expecting SK Hynix to make more money from selling SK Hynix memory chips.

The market was disappointed because SK Hynix did not make much money as it could have from the higher prices of some SK Hynix memory chips.

In the end SK Hynix had a quarter. The market was still not happy. The reason for this is that the market was expecting SK Hynix to make money from SK Hynix memory chip prices. SK Hynix could not charge these prices because of its contracts. The good news is that SK Hynix is making a kind of SK Hynix memory chip that will be used in intelligence products.

The next few days will show if the market is still worried about SK Hynix or if it will start to think that the SK Hynix company is doing well again.

This is my opinion, about what happened to SK Hynix. I am not telling you to buy or sell the SK Hynix stock.

‍#SKHynixEarnings #MemoryChips $SK Hynix