SK hynix enters the USD 1 trillion market cap club to join Samsung and Micron

Seoul [South Korea], May 27 (ANI): SK hynix joined Samsung Electronics and Micron Technology in the USD 1 trillion market capitalization club on Wednesday, as the artificial intelligence-driven rally pushed all three global memory chipmakers above the trillion-dollar mark. The milestone highlights a sectorwide surge fueled by accelerating investments in AI infrastructure, lifting the valuations of the world's largest semiconductor producers to historic heights.
According to a news report by The Korea Herald, SK hynix shares rose 9.94 per cent or 204,000 won (USD 135.7) early in the trading session to reach 2.26 million won (approx USD 1,540). The stock opened 11.06 per cent higher at 2.279 million won (approx USD 1,550), marking its intraday high during the morning session. At that level, the company's market capitalization reached approximately 1,600 trillion won (USD 1.06 trillion), positioning the South Korean chipmaker in 12th place globally by market value.
As per the news report, the structural shift within the semiconductor sector accelerated after Micron Technology shares jumped 19.29 per cent overnight in New York. The rally pushed the United States-based memory chipmaker's valuation past the USD 1 trillion threshold following a positive assessment from financial institution UBS, which sharply raised its target price for the company.
Citing UBS, the report noted that Micron was evolving from a cyclical semiconductor company into a structurally higher-margin business, reflecting broader changes across the memory industry.
The news report mentioned that the semiconductor sector, which was once dominated by boom-and-bust cycles driven by supply-demand imbalances, is undergoing a fundamental transformation.
"Analysts said the sector, once dominated by boom-and-bust cycles driven by supply-demand imbalances, is undergoing a structural shift as AI demand tightens supply and encourages more long-term supply agreements spanning three to five years," the news report said.
The collective milestone follows a period of rapid gains for the major players in the memory market. Samsung Electronics became the first South Korean company to surpass the USD 1 trillion valuation threshold earlier in the month on May 6.
With SK hynix and Micron Technology reaching the benchmark this week, the three dominant global chipmakers now hold trillion-dollar market valuations simultaneously. (ANI)

(This article was generated from news agency ANI without modifications to the text.)