SK Hynix trades at a lower forward price-to-earnings multiple than Micron Technology despite its lead in high-bandwidth memory chip production and a multi-year supply agreement with Nvidia that could be worth $500 billion. Micron trades at about 5.7 times expected earnings for fiscal 2027, while SK Hynix trades at just 5 times forward earnings estimates. Analysts expect both companies to peak in 2028, but Micron shares trade at close to 5.5 times fiscal 2028 earnings compared with 3.5 times for SK Hynix. SK Hynix management noted that despite slower-than-anticipated HBM4 sales in the second quarter, it expects a ramp-up in the back half of the year to bolster sales and average selling prices.
