SK Hynix, Earnings Improvement in Full Swing... Everything Good Except Current Stock Price

[Image source=Yonhap News]

[Asia Economy Reporter Ji-hwan Park] DB Financial Investment forecasted on the 26th that SK Hynix's performance improvement speed will accelerate along with the recovery of NAND performance.

Researcher Kyu-jin Eo of DB Financial Investment stated, "In the short term, performance improvement due to the rebound in DRAM prices is expected, and in the mid to long term, performance growth is expected to continue due to the rebound in NAND prices and increased shipments following the acquisition of Intel's NAND business unit."

SK Hynix's annual performance this year is expected to show sales of 41.8 trillion KRW, a 30.9% increase compared to the previous year, and operating profit of 12.8 trillion KRW, a 156% increase. The second quarter performance is estimated at sales of 10.1 trillion KRW, a 17.2% increase year-on-year, and operating profit of 2.8 trillion KRW, a 45.4% increase.

Researcher Eo explained, "Even though the increase in memory shipments in the second quarter is limited, the supply shortage and strong demand will maximize the rise in DRAM prices, and NAND prices are also expected to reverse and rise," adding, "With the entry into the peak season in the second half, the trend of shipment and price increases will continue for the time being."

He emphasized, "The anticipated rebound in DRAM prices is progressing faster than expected," and "The scenario of NAND market recovery and the impact of acquiring Intel's NAND business unit are fitting together perfectly." He added, "The favorable performance trend of memory companies is expected to continue in the long term."

This content was produced with the assistance of AI translation services.