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SK Hynix rises as brokerages launch coverage with bullish ratings
['Kanishka', 'Tue', 'August At Pm Gmt', 'Min Read']
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By Kanishka AjmeraAug 4 (Reuters) - Recently listed U.S. shares of SK Hynix rose 5% after six brokerages started coverage of the South Korean chipmaker with bullish ratings, citing its dominance in the booming AI memory market and access to a broader global investor base.
The American Depositary Receipts of SK Hynix, whose primary listing is in Seoul, were last up at $150.08 on Tuesday.
At least six brokerages, including BofA Global Research, started coverage on SK Hynix with a "buy"-equivalent rating.
Bank of America was the underwriter for SK Hynix's U.S. secondary offering, along with Citigroup, Goldman Sachs and J.P. Morgan.
BofA said SK Hynix remains undervalued, citing strong orders from U.S. technology companies, leadership in high-end memory chips and expectations for "super-cycle" earnings as AI infrastructure spending continues to ramp up.