Wall Street lifts SK Hynix targets on AI memory demand, with shortages seen lasting beyond 2027

Wall Street remained broadly bullish on SK Hynix on Aug. 5, with at least six firms including Bank of America launching coverage on the company’s U.S.-listed ADRs with buy or overweight ratings as analysts argued that AI-driven demand is keeping the memory market tight and leaving the stock undervalued. Rosenblatt set the highest ADR target at $320, implying about 124% upside from the prior close of $142.72, while earlier reports also showed Bank of America and Stifel setting targets of $250 and $240. JPMorgan and Bank of America also gave Seoul-share targets of 2.75 million won and 3 million won. The fresh endorsements added to a wider wave of bullish research after a sharp selloff in memory-chip stocks tied to leverage-driven liquidations, capacity-expansion announcements and concerns that the cycle had peaked. Analysts said supply still trails demand in HBM, DRAM and NAND, with shortages seen lasting beyond 2027 and, in some forecasts, through 2029. They also pointed to strong orders from U.S. technology companies, SK Hynix’s leadership in premium memory chips and continued AI infrastructure investment as reasons the company could be entering a supercycle-like earnings phase. Market analysts said expanding demand from AI servers, data centers and high-bandwidth memory continues to position SK Hynix as a key beneficiary across the AI infrastructure supply chain. Goldman Sachs also said concerns about the cycle were overdone, reaffirming buy ratings on Samsung Electronics and SK Hynix and arguing that HBM shortages would become more severe by 2027, potentially driving average prices roughly twofold higher.