JPMorgan recommends SK Hynix shares, citing at least $130 billion in returns

JPMorgan Chase recommended accumulating SK Hynix shares, saying the chipmaker could deliver at least $130 billion in additional shareholder returns by next year and at least $130 billion by 2027. JPMorgan analyst Jae Kwon said the potential payouts would equal 16% of SK Hynix’s market capitalization, support its recently battered share price and gradually improve investor sentiment. The recommendation followed SK Hynix’s announcement of a $29 billion share buyback, which Kwon said raised the ceiling on shareholder returns. The company had previously said it would use more than 50% of cumulative free cash flow for shareholder returns.

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