SK Hynix Buyback Rolls On as IBK and Bernstein Diverge on HBM Pricing

SK Hynix pushes a share buyback and Solidigm's Taiwan expansion as analysts split on Q3: IBK sees ?4M, Bernstein trims to ?2.7M.

SK Hynix is pressing ahead with its sizable share repurchase program while simultaneously widening its high-bandwidth memory production footprint — a twin effort that has done little to settle a widening split among the analysts who cover the Korean chipmaker.

The company's NAND subsidiary Solidigm is expanding its manufacturing base in Taiwan, a move media reports tie to rising demand for data-center SSDs inside the artificial-intelligence supply chain. On the question of Solidigm's future capital structure, however, SK Hynix has kept its cards close. The parent stated on October 1 that no decisions have been reached on capital plans for the NAND unit, adding that it is weighing various options and will measure them against the interests of existing shareholders and long-term corporate value. Reports that Solidigm has mandated a consortium around Goldman Sachs and Morgan Stanley for a US listing — a deal reportedly sized at roughly $10 billion — have gone unconfirmed by SK Hynix.

A Split Verdict Ahead of Third-Quarter Numbers

Opinions diverge sharply as the market awaits results for the third quarter of 2026. IBK Investment & Securities on Wednesday reiterated its buy rating with a price target of ?4 million, pointing to sustained AI memory demand set against only limited growth in supply. The brokerage projects revenue of ?95.8 trillion and operating profit of ?75.1 trillion for the quarter.

Bernstein takes a more guarded line. Analyst Mark Li trimmed his target from ?3.3 million to ?2.7 million while keeping an "Outperform" rating. The firm cited more conservative assumptions on HBM pricing, anticipated market-share gains by rival Samsung, and reported supply difficulties with the coming HBM4 generation.

Lockup Expiry and Foreign Selling Weigh on the Tape

Friday's session brought a 2.4% decline to ?1,681,000, with the stock caught in a broader downdraft across South Korean memory-chip makers. General caution ahead of interim reports combined with selling by foreign and institutional participants to push the shares lower. Over the course of the week, market watchers also flagged concerns about possible delays at US data centers and uncertainty over how quickly demand for AI-related memory chips will grow.

Corporate-calendar factors added to the trading backdrop. Bloomberg reported that a lockup period tied to SK Hynix's US listing expired on Thursday, freeing the company, its subsidiaries and management to sell. No indication of a planned additional placement emerged. The depositary receipts have also faced pressure from the lockup expiry, profit-taking ahead of quarterly results, and softer preliminary data from competitors.

Talent Drain Draws Political Attention

A report out of South Korean politics on Tuesday turned additional heads. According to the office of lawmaker Choi Soo-jin, 27 former employees of Samsung Electronics and SK Hynix have moved to Chinese memory-chip maker CXMT. Eight of those were previously with SK Hynix, and four others spent parts of their careers at both Korean semiconductor groups.

Timing for the upcoming earnings remains unofficial. Publication calendars point to October 27, though the company has not confirmed that date.

Chart Still Points Higher

Despite the recent consolidation, the longer-term picture for the chipmaker remains constructive. At current levels the stock trades 17% above its 200-day moving average, reflecting the sector's earlier re-rating. Signals from the coming quarterly results are likely to be the decisive factor in where the shares head next.