SK Hynix ADR Plunges Below Listing Price, But... UBS: 'Rises 42% to $204'

▲ SK Hynix (SKHY)/AI Generated Image ©

Global investment bank UBS has suggested a potential rebound of approximately 42% for SK Hynix, which surged to $194 immediately after listing on the US stock market before plummeting to $143.

According to cryptocurrency media Watcher.Guru on August 3 (local time), SK Hynix was listed on the Nasdaq market on July 10 via American Depositary Receipts (ADR). The listing price was $150 and it rose to $194 within a few days, but due to a combination of adjustments in artificial intelligence (AI) related stocks and concerns about the semiconductor industry downturn, it fell to $124 last week.

As of the time of writing, the stock price was $143, below its listing price. Concerns have been raised in the market that if the NAND memory supply shortage eases in late 2026 and 2027, price adjustments for memory semiconductor stocks such as SK Hynix, SanDisk, and Micron could intensify. Accordingly, investors are divided between expectations of buying at a low price and concerns of further declines.

UBS analyst Nicolas Gaudois presented a target price of $204 for SK Hynix in a client memo. This represents a $61 increase from the current price of $143, with an estimated return on investment (ROI) of approximately 42%. UBS assessed that despite the recent stock price adjustment, a double-digit upside potential remains.

UBS's outlook is more conservative than Barclays'. Barclays set a target price of $330 for SK Hynix, anticipating an upside potential of approximately 130% from the current price. If this forecast materializes, a $1,000 investment would grow to approximately $2,300. While UBS predicted a cautious rebound, Barclays placed more weight on the possibility of the stock price more than doubling.

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