[Click eStock] "SK Hynix, Current Stock Price Reflects Over 50% of Negative Factors"
[Asia Economy Reporter Park Jihwan] Hana Financial Investment stated on the 24th that the current stock price of SK Hynix appears to have already reflected more than 50% of the negative factors, and investors who believe that the reflection of negative factors is the top condition for a stock price rebound may consider buying at this time. The investment opinion 'Buy' and the target price of 100,000 KRW were maintained.
Kim Kyungmin, a researcher at Hana Financial Investment, evaluated, "In the case of SK Hynix, the recent strengthening of sanctions against Huawei and the sluggish demand for data centers have caused PC DRAM spot prices to plummet, which paradoxically suggests the possibility of a rebound, making it a positive factor."
He explained that the best investment point to take out of your pocket could be when negative factors are already reflected. In particular, among the three conditions for a rebound within the year?passing the bottom of the US-China trade conflict around the US presidential election, the halt of the decline in DRAM spot prices, and the completion of the downward revision of SK Hynix's second-half earnings consensus?half have been met, according to the analysis.
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Researcher Kim Kyungmin emphasized, "Sanctions against Huawei have been expanded, and DRAM spot prices have fallen to historically low levels," adding, "For investors who consider the reflection of negative factors as the top condition for a stock price rebound, filling up on SK Hynix should not be a burden."
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