[Infostock Daily= Reporter An Hoe Hyun] NH Investment & Securities said on the 7th that SK Hynix is expected to improve its supply and demand of memory starting from the first quarter of next year, maintaining its 'BUY' opinion and target stock price of 105,000 won.
NH Investment & Securities said, "SK Hynix's operating profit is expected to decline to 1.3 trillion won in the third quarter of this year. The slowdown in memory supply and demand is expected to continue until the fourth quarter of this year, and improvement in supply and demand is possible around the first quarter of next year."
"The memory industry will improve from the first quarter of next year, and the inventory held by data center customers will normalize from the end of this year," the company said, adding, "Their investment will start again from the first quarter of next year, and the reduction of new CAPA investment will take effect from the first quarter of next year, which will slow down supply growth."
"There have been many cases where DRAM spot prices, which recently started to rebound, moved in advance of fixed transaction prices for about three months in the past, reflecting the improvement in business conditions in the first quarter of next year," the company said, adding, "Recently, many high-performance products such as NVIDIA RTX 30 Series and Intel Tiger Lake have been announced at low prices. This will affect future IT demands", the company explained.
Reporter An Hoe Hyun ahh@infostock.co.kr
