SK Hynix Briefly Dethrones Samsung as South Korea’s Most Valuable Firm
South Korean memory chip manufacturer SK Hynix briefly overtook its industry rival Samsung Electronics on Monday, claiming the title of the country’s most valuable company. This historic market shift marks the first time Samsung has lost the top domestic spot since the year 2000.
During Monday’s trading session, shares in SK Hynix surged by 5.7%. This boost pushed the firm’s total market capitalisation to a staggering 2,082.5 trln won ($1.35 trln) by 03:47 GMT. In comparison, Samsung Electronics experienced a more modest gain of 0.4%, bringing its valuation to 2081.3 trln won when excluding preferred shares.
Riding the artificial intelligence boom
The monumental rise of SK Hynix, which now stands as the most valuable memory chipmaker globally, is heavily linked to the ongoing artificial intelligence boom. American technology giants are currently rushing to construct vast AI data centres. This rapid infrastructural expansion has dramatically increased the demand for memory chips, severely constrained global supplies and subsequently driven up market prices.
Consequently, South Korean semiconductor companies have been reporting record-breaking profits. The immense financial impact is clearly reflected in the stock market, with SK Hynix shares skyrocketing by more than 340% this year alone. While Samsung has also enjoyed substantial growth, its 200% jump over the same period falls short of its domestic rival’s explosive trajectory.
This latest financial milestone follows a historic May for the semiconductor industry. Driven by the relentless AI rally, SK Hynix joined global competitors Samsung Electronics and Micron Technology in surpassing a $1 trln market valuation for the very first time.
