Major Bank Ratings丨UBS: Raises SK Hynix target price to 3.2 million KRW, expects three major catalysts

Glonghui, July 6th | UBS released its latest research report, raising the 12-month target price for SK Hynix from 3 million KRW to 3.2 million KRW, and reiterated its "Buy" rating. The report pointed out that the AI-driven memory supercycle is accelerating, and as a core leader in the field, SK Hynix continues to benefit from the tightening supply-demand landscape and the generational upgrade in technology. UBS believes that the recent correction is a temporary phenomenon. The implementation of long-term supply agreements, official mass production and shipment of HBM4, and potential stock buybacks after ADR listing are three major catalysts that will jointly drive the company's revaluation. Regarding earnings outlook, UBS expects operating profit to reach 32.7 trillion KRW in 2026, about 27% higher than the market consensus; and to further rise to 62.3 trillion KRW in 2027, exceeding consensus by about 54%.