SK hynix (KOSE:A000660): Assessing Valuation After a 91% Three-Month Share Price Surge

SK hynix (KOSE:A000660) has quietly become one of the biggest beneficiaries of the AI-driven memory boom, with the stock up roughly 91% over the past 3 months and more than tripling year to date.

See our latest analysis for SK hynix.

That surge has been driven by investors crowding into AI infrastructure plays, with SK hynix at the center of high bandwidth memory demand. The stock is now sitting near ₩587,000 after a 90 day share price return of 91.21% and a three year total shareholder return above 600%. This suggests momentum is still firmly in the stock’s favor despite a softer 30 day share price pullback.

If SK hynix’s run has you thinking about where the next wave of AI demand could show up, it is worth exploring high growth tech and AI stocks to see what other potential beneficiaries the market may be overlooking.

With shares already tripling this year yet still trading below analyst and intrinsic value estimates, the key question now is whether SK hynix remains mispriced by the market or whether future AI growth is already fully reflected in the valuation.

Most Popular Narrative Narrative: 14% Undervalued

Against SK hynix’s last close of ₩587,000, the most followed narrative points to a higher fair value, built on compound growth and richer long term margins.

Accelerating demand for high performance memory solutions, particularly HBM and next gen DRAM, as AI workloads and advanced reasoning models proliferate. This is expected to sustain double digit revenue growth and expand margin through premium pricing on leading products.

Read the complete narrative.

Curious how fast growing cash flows, shifting margins, and a higher future earnings multiple all combine into that higher price tag? The full narrative reveals the playbook behind those assumptions and why the projected valuation leans well ahead of today’s market view.

Result: Fair Value of ₩682,451 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, that upside case hinges on smooth execution, with geopolitical tensions around China and heavy capex needs both capable of quickly compressing margins.

Find out about the key risks to this SK hynix narrative.

Build Your Own SK hynix Narrative

If you would rather challenge these assumptions and work through the numbers yourself, you can quickly build a personalized SK hynix view in just a few minutes, Do it your way.

A great starting point for your SK hynix research is our analysis highlighting 4 key rewards and 1 important warning sign that could impact your investment decision.

Looking for more investment ideas?

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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