SK Hynix Shares Surge Over 12% in Seoul After Announcing Massive Stock Buyback
Shares of SK Hynix surged over 12% in Seoul after the company announced a massive stock buyback.
TL;DR
- SK Hynix shares rose over 12% in Seoul.
- The company announced an accelerated 40 trillion won ($28.7 billion) share buyback program.
- Shareholder returns will be expanded to over 50% of cumulative free cash flow between 2025-2027.
- Analysts see the buyback as a floor for the share price and a sign of confidence in mid- to long-term growth.
- SK Hynix is also investing 54 trillion Korean won in new memory chip manufacturing plants.
- Other Asian tech stocks like Samsung Electronics, Kakao, SoftBank Group, Nintendo, and Rakuten also saw gains.
- Market sentiment was boosted by gains in U.S. stocks and a pullback in Treasury yields.