Nvidia Supplier SK Hynix Eyes NYSE Listing to Accelerate AI Momentum

Leading South Korean semiconductor firm SK Hynix saw its shares soar on the Korea Stock Exchange (KRX) on Wednesday after the company announced it is exploring the possibility of listing shares on the New York Stock Exchange (NYSE). This move aims to close the valuation gap with US rivals such as Micron Technology.

The firm stated in a regulatory filing on Wednesday that it is 'reviewing various measures to enhance corporate value, including a potential listing on the US stock market using treasury shares, but nothing has been finalised at this time.' This followed reports from a South Korean publication the previous day, which indicated that the chipmaker had received proposals from investment banks to list approximately 2.4% of its outstanding shares — around 17.4 million — as American depositary receipts (ADRs).

'We will make a further announcement once the specific details are finalised, or within one month,' SK Hynix added.

So far this year, the company's stock has surged over 200% on the Seoul stock exchange, driven by increasing demand for high-bandwidth memory (HBM) chips, which are critical to powering the AI boom.

'By listing its shares as ADRs, the valuation gap between SK Hynix and other listed peers (such as Micron and TSMC) could be reduced,' Douglas Kim wrote in a note on Smartkarma. 'The listing of ADRs could attract capital from passive funds, ETFs, and long-only funds that invest solely in US-listed stocks.'

Industry insiders suggest that SK Hynix is likely to seek underwriters for a potential ADR programme using treasury shares as part of its strategy.

SK Hynix Powering Nvidia's AI Rally

SK Hynix is a major manufacturer of memory chips, including Dynamic Random-Access Memory (DRAM) and NAND Flash modules, which serve as fundamental components across a broad array of electronic devices such as servers, personal computers, smartphones, and even automobiles. The company has been investing heavily in research and development to push the boundaries of high-performance memory storage technology.

The company is among the leading suppliers of High Bandwidth Memory (HBM) for Nvidia's AI accelerators. This partnership has fuelled significant growth for both firms in recent years. SK Hynix has already sold out its HBM supply for 2026, underscoring the soaring demand for this high-speed memory.

Furthermore, SK Hynix is supporting Nvidia in building AI factories. Their collaboration involves supplying advanced memory technologies for Nvidia's graphics processing units (GPUs), enhancing digital twin simulations, expanding data centre infrastructure, and creating a resilient semiconductor supply chain to support AI development.

Investors are betting that SK Hynix will continue to be a key supplier of HBM chips used in AI data centres. Additionally, optimism around a multi-year upcycle in DRAM and NAND pricing has shifted sentiment from cautious to bullish.

SK Hynix's NYSE Listing and Its Impact on the South Korean Market

According to industry analysts, SK Hynix's potential US listing could unlock significant valuation potential within the South Korean market by attracting more global investors.

The South Korean government has also announced plans to triple AI-related spending by 2026, aiming to position the country among the top three global AI powers, alongside the US and China.

As SK Hynix shares continue their upward trajectory, the Korea Exchange has, for the second time in about a month, issued a warning to investors to exercise caution when trading the stock amid heightened volatility.

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