SK Hynix: Debates but significant growth ahead - OW

研报英文原文证据摘录

SK Hynix: Debates but significant growth ahead - OW

Equity Research

European Technology Hardware

14 July 2026

SK Hynix

Debates but significant growth

ahead - OW Initiating Coverage

We switch coverage of SK Hynix to its ADRs, initiating at OW SKHY OVERWEIGHT

with a $330 PT. We expect industry tightness to worsen in from Not Rated

European Technology

2027 and see limited improvement in 2028. Muted China risk Hardware NEUTRAL

Unchanged

near-term and sustained HBM leadership should underpin Price Target USD 330.00

from N/Afurther significant growth from here.

Price (13-Jul-26) USD 152.35

Potential Upside/Downside +116.6%Key debates. Following a week of marketing in the US, the debate continues to centre on

Source: Bloomberg, Barclays Research

whether this time is different, with investors remaining unconvinced (detailed feedback in the

report). We sense scepticism around whether LTAs will provide protection in a potential material

Market Cap (USD mn) 1085802downturn, even if they improve demand visibility. The key issue is that supply/demand

Shares Outstanding (mn) 7127.02tightness continues, with our supply model showing deterioration in 2027 and only limited

Free Float (%) N/Aimprovement in 2028 and thereafter. We also see limited risk from China alleviating supply/

52 Wk Avg Daily Volume (mn) N/Ademand tightness (see China #7: Memory scaling up, raising WFE, 2 June 2026). We expect SKHY

Dividend Yield (%) N/Ato maintain its lead in HBM, with any perceived technology disadvantages neutralised by

Return on Equity TTM (%) N/AHBM4E.

Current BVPS (USD) N/A

Next leg of the story. Given expectations that ASP growth is set to slow, the investment case Source: Bloomberg

will need to evolve. We struggle to find many examples of reratings driven by buybacks for