The Kospi index has surged, largely propelled by the remarkable performance of SK Hynix and Samsung Electronics, which have seen their stock prices increase by 183% and 134% respectively this year. Nomura forecasts that these stocks could rise by over 110% in the next 12 months, with target prices set at 4 million won for SK Hynix and 590,000 won for Samsung.
This growth is attributed to a 'structural growth phase' in the memory industry, particularly following the launch of ChatGPT, which has significantly increased demand for high-bandwidth memory (HBM) chips. Both companies are major players in the HBM market, with SK Hynix expected to lead in the production of advanced HBM4 chips.
Nomura highlights a mismatch between the soaring demand for memory chips and the industry's supply capabilities, predicting that demand could increase several thousand-fold over the next five years, while supply may only grow five to six times.
This scenario is expected to drive a 'triple memory super-cycle' across DRAM, HBM, and SSD memory, leading to rapid revenue growth and margin expansion for memory vendors. Early financial results from both companies indicate a strong trend, with SK Hynix's operating profit increasing fivefold and Samsung's soaring over 750% year-on-year in the first quarter of 2026