Mirae Asset Cuts SK Hynix Target Price 33% to 2.8M Won, Maintains Buy Rating

Mirae Asset lowers SK Hynix target price by 33% to 2.8 million won amid valuation shifts, yet retains 'Buy' rating citing strong fundamentals and 80.6% upside potential from current levels.

Woofun AI reports that Mirae Asset has reduced SK Hynix's target price from 4.2 million Korean won to 2.8 million Korean won, representing a 33% decrease, while maintaining a "Buy" rating. The firm attributes the adjustment to a downward shift in industry valuation benchmarks driven by factors such as China's domestication of mature process equipment and expectations of NAND contract price reductions.

Despite the cut, the new target implies approximately 80.6% upside from the July 28 closing price of 1.55 million Korean won. Mirae Asset highlights robust fundamentals, including Google Cloud's order backlog rising to $51.4 billion and 16Gb DRAM spot prices hitting record highs. The firm projects SK Hynix's Q2 operating profit at 6.23 trillion Korean won, a 65.7% quarter-on-quarter increase, while noting investors should monitor HBM4 shipment progress and long-term contract signings.