Market: KOSPI (000660)
Brokerage : Daishin Securities
Analyst : Hyungkeun Ryu, RA Jiwon Seo
Investment Rating : BUY (Maintained)
Target Price : 1,450,000 KRW (Maintained)
Core Momentum : Sharp DRAM and NAND ASP increases are expected to drive a significant Q1 earnings beat and substantial full-year earnings upgrades, while the recent share-price correction leaves valuation at an attractive level relative to improving fundamentals.
📊 1. [Valuation & Key Financial Metrics]
- Target Price / Investment Rating: 1,450,000 KRW / BUY (Maintain)
- Current Price (as of 26.03.13): 910,000 KRW
- Market Capitalization: 648,559 billion KRW (KOSPI 5487.24pt)
- Key Financial Metrics (2023A / 2024A / 2025F / 2026F / 2027F):
- Revenue: 32,766 billion KRW / 66,193 billion KRW / 97,147 billion KRW / 275,630 billion KRW / 311,971 billion KRW
- Operating Profit: -7,730 billion KRW / 23,467 billion KRW / 47,206 billion KRW / 204,009 billion KRW / 206,101 billion KRW
- Net Income Attributable to Controlling Interests: -9,112 billion KRW / 19,789 billion KRW / 42,919 billion KRW / 155,938 billion KRW / 157,544 billion KRW
- EPS: -12,517 KRW / 27,182 KRW / 58,955 KRW / 218,298 KRW / 221,062 KRW
- PER: NA / 6.4x / 11.0x / 4.3x / 4.2x
- PBR: 1.9x / 1.7x / 5.5x / 2.4x / 1.5x
- ROE: -15.6% / 31.1% / 44.2% / 78.9% / 44.7%
🚀 2. [Market Opportunities & Business Outlook]
- Upward Revision of 2026 Earnings Outlook: The operating profit estimate for 2026 has been revised upward from 174 trillion KRW to 204 trillion KRW. Situated in a remarkably undervalued zone with ample catalysts for a rebound, an aggressive buying approach is warranted.
- 1Q26 Preview (Earnings Surprise): First-quarter revenue is projected at 52.6 trillion KRW (+60% QoQ, +198% YoY) and operating profit at 38.0 trillion KRW (OPM +72.3%), outperforming consensus estimates (revenue of 47.5 trillion KRW and operating profit of 32.2 trillion KRW). Potent pricing gains (1Q26 ASP: DRAM +62% QoQ, legacy DRAM +95% QoQ, NAND +60% QoQ) will drive company-wide profit expansion.
- Key Investment Catalysts:
- Micron Earnings Release: Ahead of Micron Technology’s earnings announcement, concrete evidence of an intense super-cycle is expected to intensify market focus on SK hynix.
- GTC 2026 & NAND Growth: GTC 2026 will serve as an event amplifying optimism for the NAND market, showcasing AI server storage innovations like HBF and Solidigm-backed QLC strengths.
- Enhanced Shareholder Returns: Strengthened dividend policies and concrete plans for an ADR issuance are anticipated.
📝 Editor’s Comment (Perspective)
The analyst evaluates that despite the drop in stock price due to macroeconomic risks, the 2026 operating profit forecast has been revised upward and robust ASP growth continues, while valuation remains in a remarkably undervalued zone. This perspective emphasizes focusing on fundamental improvement and earnings visibility despite short-term volatility.
To determine whether this investment thesis is unfolding as projected, key items to monitor include the realization of the projected 38 trillion KRW operating profit for Q1, confirmation of industry strength through Micron’s earnings report, and progress on ADR issuance plans and shareholder return initiatives. These developments can be tracked through upcoming quarterly and annual earnings releases, official corporate IR materials, and regulatory disclosures via DART/KRX.
📢 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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