Key Highlights
- Shares of SK Hynix jumped 5.6% to ā©1,843,000 on Friday’s session, while U.S.-traded SKHY advanced more than 4.6% in premarket activity
- Solidigm, the company’s U.S. arm, is evaluating the construction of a NAND flash memory production facility in upstate New York
- Independent discussions are underway with Intel regarding possible memory chip manufacturing at Intel’s Ohio site
- The company commands 50% of the HBM market and is currently developing a $4 billion Indiana facility
- Wall Street analysts assign SKHY a Strong Buy rating with a consensus price target of $249.70, suggesting 36.5% potential gains
Shares of SK Hynix experienced significant gains on Friday following the simultaneous emergence of two distinct announcements regarding U.S. manufacturing expansion plans.
The Korean semiconductor manufacturer saw its shares climb 5.6% to ā©1,843,000 during trading on the KOSPI exchange, while SKHY shares in U.S. markets gained over 4.6% during premarket sessions on September 18.
The initial development involves Solidigm, the company’s American division, which is exploring the possibility of establishing a NAND flash memory manufacturing plant on American territory. According to a Reuters report citing sources with knowledge of the discussions, upstate New York has emerged as a leading candidate for the location.
Establishing a manufacturing presence in the United States would provide Solidigm with an alternative production hub beyond its current Dalian, China operations. Such a move would also mitigate the company’s vulnerability to U.S. tariff policies and potential limitations on semiconductor equipment shipments to China.
The company has not reached a final determination. SK Hynix acknowledged that Solidigm is evaluating strategies to enhance its market position, though emphasized that concrete plans have not been finalized. The elevated production costs in the United States compared to South Korea continue to be a consideration.
Intel Partnership Discussions Provide Additional Momentum
Concurrent with the Solidigm development, Reuters disclosed that SK Hynix has entered preliminary discussions with Intel regarding the domestic production of memory chips in the United States for the first time.
According to reports, two potential frameworks are under consideration: SK Hynix securing manufacturing capacity at Intel’s forthcoming Ohio semiconductor complex, or establishing a joint venture partnership with prominent cloud service providers seeking reliable memory chip supply chains.
SK Hynix confirmed to Investing.com that the company is seriously evaluating strategies to broaden its U.S. memory chip manufacturing capabilities, though emphasized that no binding decision has been reached regarding these initiatives.
These negotiations operate independently from the Solidigm NAND manufacturing facility considerations.
Industry Standing and Strategic Context
SK Hynix maintains a substantial U.S. presence in research and development activities. The corporation is constructing a $4 billion Indiana facility dedicated to advanced HBM packaging and innovation, with full-scale production of next-generation HBM4E chips scheduled to commence in 2029.
Within the HBM segment, which serves AI accelerator applications, SK Hynix dominates with a 50% revenue share in Q2 2026. Samsung captures 33% of the market, while Micron holds third position with 18%.
In the DRAM sector, Samsung maintains the lead with 39.4% market share, SK Hynix commands 24.9%, and Micron follows with 23.3%. These three manufacturers collectively represent approximately 88% of worldwide DRAM revenues.
Within the NAND segment, Samsung leads with 29.3% market share. SK Hynix Group, incorporating Solidigm, secures second position at 18.2%, surpassing Micron’s 15.1%.
The favorable macroeconomic backdrop amplified the stock’s movement. U.S. 10-year Treasury yields declined after momentarily exceeding 5% earlier during the week, petroleum prices retreated, and investor risk appetite strengthened throughout Asian trading sessions. The KOSPI advanced approximately 2% during the session, driven by semiconductor sector purchases, with international investors becoming net purchasers of Korean stocks.
Industry competitor Samsung Electronics similarly recorded gains during trading.
According to TipRanks, SKHY receives a Strong Buy consensus recommendation based on 11 unanimous Buy ratings, with analysts projecting an average price target of $249.70.
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