Market: KOSPI (000660)
Brokerage : Eugene Investment & Securities
Analyst : Injune Son
Investment Rating : STRONG BUY (Maintain)
Target Price : KRW 3,700,000 (Maintain)
Core Momentum : National-level AI infrastructure investment competition is expected to intensify memory supply shortages and sustain pricing strength, while expanded HBM4 and SOCAMM2 shipments support second-half product mix improvements and earnings growth.
📊 1. [Valuation & Key Financial Metrics]
- Stock Performance & Investment Rating
- Investment Rating: STRONG BUY (Maintain)
- Target Price: KRW 3,700,000 (Maintain)
- Current Price (As of 7/30): KRW 1,322,000
- Market Capitalization: KRW 965.71T
- Valuation Multiples
- Annual P/E Trend: 2025A 11.0x → 2026E 4.0x → 2027E 2.4x
- Annual P/B Trend: 2025A 3.9x → 2026E 2.6x → 2027E 1.3x
- Annual EV/EBITDA Trend: 2025A 7.7x → 2026E 2.8x → 2027E 1.0x
- Key Financial Forecasts
- 2025A: Revenue KRW 97.15T, Operating Profit KRW 47.21T, Pre-tax Profit KRW 50.47T, Net Profit KRW 42.95T, EPS KRW 58,955, ROE 44.2%
- 2026E: Revenue KRW 343.26T, Operating Profit KRW 262.14T, Pre-tax Profit KRW 281.69T, Net Profit KRW 236.15T, EPS KRW 330,849, ROE 98.2% (Reflecting downward adjustment in operating profit vs. previous estimate)
- 2027E: Revenue KRW 563.63T, Operating Profit KRW 447.81T, Pre-tax Profit KRW 457.75T, Net Profit KRW 398.24T, EPS KRW 557,816, ROE 73.0% (Reflecting downward adjustment in operating profit vs. previous estimate)
🚀 2. [Market Opportunities & Business Outlook]
- 2Q26 Earnings Review & 3Q26 Outlook
- 2Q26 revenue reached KRW 79.3T (+51% qoq) and operating profit recorded KRW 60.5T (+61% qoq), slightly missing the brokerage estimate of KRW 61.4T, while the company-wide operating margin expanded to 76%.
- Although generic DRAM price gains were slightly softer than expected and HBM4 shipments began late in 2Q26 with minimal earnings contribution, product mix improvements are set to resume in the second half with expanded shipments of HBM4 and 1cnm-based SOCAMM2.
- 3Q26 operating profit is projected at KRW 78.0T (+29% qoq), supported by record-breaking DRAM spot prices and ongoing server-centric memory securing competition and upward pricing trends.
- Expansion of AI Infrastructure Competition and Industry Stability
- Recent stock sluggishness following earnings stems from the absence of concrete details regarding shareholder returns and LTAs due to quiet period constraints, though management’s commitment to additional shareholder returns remains intact with high potential for execution in 4Q26 or earlier.
- As AI infrastructure investments expand into national-level competition, next year’s memory supply shortages are projected to intensify further compared to this year, rendering the possibility of an industry downturn strictly limited.
📝 Editor’s Comment (Perspective & Thesis Verification)
The analyst evaluates SK hynix as an enterprise poised to sustain solid growth supported by second-half product mix enhancements and limited downside risk to industry conditions, driven by intensifying memory shortages as AI infrastructure investment evolves into national-level competition, despite short-term stock sluggishness from minor consensus misses and disclosure delays on shareholder returns and LTAs. This perspective places greater emphasis on structural supply shortages and solid pricing dynamics rather than short-term market noise.
To verify whether this investment thesis unfolds as expected going forward, it is necessary to track margin recovery from expanded HBM4 and SOCAMM2 shipments in the second half, the escalation of memory supply shortages driven by expanding AI infrastructure investments, and the actual execution of shareholder return programs alongside concrete LTA disclosures expected around the fourth quarter. Such changes can be verified through future quarterly and annual earnings releases, official company IR materials, and regulatory filings.
📢 Disclaimer & Source
Source: This content has been structured and newly written based on officially disclosed financial facts and data from brokerage reports.
Investment Risk Notice: This content is provided for informational and linguistic reference purposes only. Under no circumstances does it constitute financial advice or a recommendation to buy or sell any specific securities. All investment decisions and financial responsibilities rest entirely with the investor.
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