SK Hynix Seen Adding $130 Billion in Returns as 40 Trillion Won Buyback Lifts Shares
Updated
Updated · Yahoo Finance · Aug 20
SK Hynix Seen Adding $130 Billion in Returns as 40 Trillion Won Buyback Lifts Shares
3 articles · Updated · Yahoo Finance · Aug 20
Summary
JPMorgan estimates SK Hynix could deliver at least 180 trillion won, or about $130 billion, in additional shareholder returns through 2027, on top of the 40 trillion won buyback unveiled Wednesday.
The forecast follows SK Hynix raising its payout commitment to more than half of cumulative free cash flow for 2025-2027, from a previous ceiling of up to 50%.
Shares jumped as much as 13% in Seoul after the company said it would repurchase and retire up to 24 million shares in what it called South Korea's largest-ever stock cancellation.
That rebound also lifted the Kospi and helped Samsung Electronics rise as much as 10%, with local media saying Samsung may announce a shareholder return program exceeding 100 trillion won this month.
The stronger payout outlook comes after a sharp selloff in memory stocks tied to worries about AI spending durability and Chinese competition, with SK Hynix still down more than 40% from its June peak.