#美股财报季 SK Hynix gets another bullish call: HBM prices to double next year

RBC recently said in a research report that SK Hynix will continue to benefit from the memory chip upcycle.
Royal Bank of Canada Capital Markets (RBC Capital) recently said in a research report that as AI demand continues to outstrip supply, rising high-bandwidth memory (HBM) prices are expected to support overall DRAM average selling prices (ASP), and SK Hynix will continue to benefit from the memory chip upcycle.
RBC expects SK Hynix's third-quarter results to come in slightly above market consensus, with revenue reaching 101.2 trillion won and adjusted earnings per American depositary receipt (ADR) of 8917 won (approximately $6.72).
Strong pricing power is expected to offset adverse currency effects: DRAM contract prices rose 20% quarter over quarter in the third quarter and may rise another 15% in the fourth quarter. RBC believes the DRAM upcycle will last another five quarters after already running for 14 quarters, with supply tightness expected to persist until 2027.
The report also noted that HBM prices could rise 80% to 100% in 2027, supporting overall DRAM average selling prices.
Analysts expect SK Hynix to maintain its lead in HBM thanks to its manufacturing yields and execution. After implementing a 40 trillion won share buyback plan, strong free cash flow could also support further buybacks or a special dividend. The company's management is expected to reiterate its optimistic outlook on industry fundamentals.
RBC reiterated its “Outperform” rating on SK Hynix, with a $200 price target, about 40% above the stock's latest closing price.
In the U.S. stock market, SK Hynix shares jumped more than 4% on Monday to $142.62. Chip stocks broadly rose that day, boosted by Anthropic's public offering prospectus. Investment banks turn increasingly bullish: After memory chip stocks fell sharply over the past few months, investment banks' views on the sector are becoming more optimistic.
International investment bank Nomura Securities recently also said concerns about the outlook for AI investment were an “overreaction,” the memory chip shortage would persist until 2028, and memory stocks were significantly undervalued.
Nomura also emphasized in its report that it maintained “Buy” ratings on South Korea's Samsung Electronics and SK Hynix, with price targets of 670,000 won and 4.7 million won, respectively. The targets imply about twofold upside from the companies' recent share prices, and Nomura named both companies “top picks.”
South Korea's leading brokerage KB Securities said on Monday that Samsung Electronics and SK Hynix shares are as undervalued as they were during the global financial crisis. The two companies' earnings have soared, but their share prices have failed to keep pace with the gains.
The firm noted that the two companies' price-to-earnings ratios had fallen to around 3x. SK Hynix will release its third-quarter earnings this Wednesday.
Analysts surveyed by market tracker FnGuide expect SK Hynix's third-quarter revenue to reach 98.2 trillion won and operating profit to reach 77 trillion won. Investors will pay particular attention to shareholder return measures. Media reports say SK Hynix is considering a special dividend of about 16 trillion won (approximately 80.847 billion yuan).$SK Hynix