KOSPI jumps 5.9% as SK Hynix buyback sparks shareholder-return race

South Korea’s KOSPI closed 5.9% higher at 6,852.58 after SK Hynix announced a 40 trillion-won ($28.9 billion) share buyback and retirement, sending the memory maker up 12.7% to 1.691 million won and lifting Samsung Electronics by about 10%. Brokerages said SK Hynix’s free-cash-flow-based capacity for additional shareholder returns could reach 181.5 trillion to 211 trillion won ($130.8 billion to $152 billion) through 2027, after the company raised its 2025-2027 payout stance to 50% or more of cumulative free cash flow. JPMorgan put additional return capacity at least at 181.5 trillion won, while more aggressive free-cash-flow forecasts from UBS imply as much as 211 trillion won. Samsung Electronics is also associated with a large return program of about 150 trillion won in the latest account, intensifying a shareholder-return race that analysts say could re-rate the memory sector and, if overseas dollars are repatriated for buybacks, support the won. Foreign investors bought a net 1.7117 trillion won as a buy-side sidecar was triggered for the 24th time this year.

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