SK Hynix Inc., South Korea’s top-tier chipmaker, is on a roll as buying
spree on high expectations for its earnings in the back of chip price
recovery amid supply shortage sent the stock price up nearly 40 percent
over the last four months.
In Seoul trading on Friday, SK Hynix
shares hit an intraday high of 39,650 won, before closing at 39,450 won,
up 50 won or 0.13 percent from the previous session. Its share price
has jumped 38 percent since it fell to a three-year low of 25,000 won in
the middle of May this year.
The bull run was fed by insatiable
appetite from foreigners and institutional investors. Offshore
investors net purchased more than 26.8 million shares worth 890 billion
won ($807 million) and institutional investors net bought about 10
million shares worth 329 billion won from June to September 22.
The
world’s second largest memory chipmaker is expected to benefit from the
turnaround in its mainstay product. The selling price of dynamic random
access memory (DRAM) has been rebounding as demand outstripped supply.
“Demand for mobile DRAM is rising with the launch of Apple’s iPhone 7
and the aggressive push by Chinese smartphone makers, while supply is
shrinking due to the chipmakers’ avoidance of excessive investment,”
said Lee Se-chul from NH Investment & Securities Co.
Market
estimation for the company’s operating profit in the third quarter has
been revised up from around 550 billion won to 700 billion won. SK Hynix
commanded 27.3 percent in the global DRAM market as of the first half
of this year.
http://pulsenews.co.kr/view.php?sc=30800020&year=2016&no=669921
No comments:
Post a Comment