SK Hynix Shares Surge as Barclays Sets $330 Price Target

Deep News07-15 08:40

Shares of SK hynix surged by as much as 12% in intraday trading on the Korea Exchange, buoyed by a 27% overnight jump in its American Depositary Receipts (ADRs).

Barclays initiated coverage on the company's ADRs with an "overweight" rating and a price target of $330.

Calculations indicate this target price implies an upside potential of approximately 70% from Tuesday's closing price.

A team of analysts led by Simon Coles stated in a research report, "We anticipate the supply-demand tightness in the memory chip sector will intensify further in 2027, with limited room for improvement in the supply-demand balance in 2028."

The analysts added that establishing front-end wafer fabrication operations in the United States could help narrow SK hynix's valuation gap with competitor Micron.

SK hynix's shares listed in South Korea have accumulated a gain of 221% year-to-date.

The benchmark KOSPI index rose as much as 7.3% during the session, with shares of Samsung Electronics climbing 8%.

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