Verdict
Overvalued
What is SK hynix Inc. (SKHY) worth?
Currently $171.94 — 91% premium to Dolphy’s fair value · ● live
Cyclical
low confidence in the point estimate
— for this profile, read the range & what the price implies, not the single number
● live · as of 2026-07-21 21:28 · Market cap $1.4T
As of 2026-07-16, SK hynix Inc. (SKHY) looks overvalued. Dolphy estimates a fair value of $90.00 versus a current price of $171.94 — a 91% premium to fair value.
Executive summary
SK hynix is the global #1 in HBM (~56% share, ~70% of Nvidia Rubin HBM4 allocation) and a top-two DRAM/NAND maker, at a strong AI-driven cyclical peak. FY25: revenue ₩97.1tn, operating income ₩47.2tn (48.6% margin), net income ₩42.9tn. 1Q26 accelerated hard: revenue ₩52.58tn in a single quarter, operating margin ~72%, and the company is in a net-cash position (~₩35tn, plus ₩39.4tn of IPO proceeds received 7/10).
Key correction to V1: V1 concluded "overvalued, ~$45" on the back of a broken multiple (normalized EBITDA set to FY25 actual, ~⅓ of run-rate). Corrected, the stock is cheap on peak earnings — forward P/E ≈ 4.8x, current EV/EBITDA ≈ 6.8x on peak — which is the classic cycle-top tell, not an overvaluation signal.
Security vs company: SKHY is a US ADS = 1/10 of Korean share 000660, recently listed (F-1/424B4, July 2026), trading at a ~30% premium to the underlying. We value the company on the Korean line in KRW, then convert. Corrected fair value ~$90/ADS (range $48–$155), so the stock is modestly overvalued into the peak — a genuine cyclical/premium call, at ~45% downside rather than V1's ~77%. Confidence low; the range is the message.
How we value it
Company valued on the Korean line (000660) in KRW via mid-cycle normalized EV/EBITDA + DCF; ADS fair value = company value ÷ ADS count ÷ FX × (1 + ADR premium). Probability-weighted scenarios.
Every figure is computed from SEC filings by the analyst’s calculator tools and fact-checked by a second, independent model.
Investment thesis
About SK hynix Inc.
SK hynix Inc. through its subsidiaries, engages in research, develops, manufactures, distributes, and sells semiconductor devices in Korea, China, rest of Asia, the United States, Europe, and internationally. It offers DRAM, such as server memory, graphics memory, mobile memory, PC memory, consumer memory; NAND flash memory; SSD; and MCP products. It also engages in foundry business, produces non-memory semiconductors. The company serves its products for server, networking, mobile, personal computer, consumer, and automotive applications. The company was formerly known as Hynix Semiconductor Inc. and changed its name to SK hynix Inc. in March 2012. SK hynix Inc. was incorporated in 1949 and is headquartered in Icheon-si, South Korea.
Frequently asked questions
Is SKHY a buy?
As of 2026-07-16, SK hynix Inc. (SKHY) looks overvalued. Dolphy estimates a fair value of $90.00 versus a current price of $171.94 — a 91% premium to fair value.
What is SKHY's fair value?
Dolphy's estimated fair value for SK hynix Inc. (SKHY) is $90.00, versus a current market price of $171.94.
Is SKHY overvalued or undervalued?
SK hynix Inc. (SKHY) currently looks overvalued — trading at a 91% premium to Dolphy's estimated fair value of $90.00.
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AI-generated research by Dolphy for educational and informational purposes only — not investment advice. Figures are computed from public sources and may contain errors.