
Morgan Stanley Downgrade Sends SK Hynix Down 7%, Samsung Hits 1-Year Low (Sep 19, 2024)
created At: 3/15/2025

Sell
This analysis includes a sell recommendation. Please carefully review all mentioned risk before proceeding.
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Fact
SK Hynix down 7%, Samsung at a 1-year low.
Morgan Stanley slashed target prices:
SK Hynix: -54% (₩260,000 → ₩120,000)
Samsung Electronics: -27% (₩105,000 → ₩76,000)
Reasons:
DRAM cycle peak in Q4 2024.
HBM price declines due to oversupply.
Chinese firms ramping up investment.
Opinion
This drastic downgrade signals a fundamental reassessment of the memory market. A 54% cut for SK Hynix suggests that HBM, previously seen as a growth driver, may now face structural risks.
The rise of Chinese chipmakers isn’t just about oversupply—it’s about shrinking the technology gap. If China narrows its lead in DRAM/HBM, Korean dominance could erode faster than expected.
Core Sell Point
The combination of Chinese competition and potential HBM oversupply suggests Korean memory leaders may lose their competitive edge faster than anticipated. The structural risks are mounting, making the recent sell-off more than just a short-term correction.
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