SK Hynix stock rose more than 5% in premarket trading on Wednesday. <\/p>\n
The South Korean chipmaker also said it will allocate more than 50% of free cash flow generated between 2025 and 2027 to boost shareholder returns. <\/p>\n
Earlier this month, SanDisk added a handsome $14 billion to its share buyback authorization. <\/p>\n
SK Hynix on Wednesday announced plans to buy back and cancel 40 trillion won ($29 billion) of its treasury shares, according to a regulatory filing, in a move likely aimed at restoring investor confidence amid a volatile phase in the memory market. <\/p>\n
SK Hynix’s U.S.-listed shares fell 9.2% on Tuesday amid a broader selloff in U.S. tech stocks, and remain 12.4% below the price at which the stock opened on its Nasdaq debut on July 10. SKHY stock rose more than 5% in premarket trading on Wednesday. <\/p>\n
See what 10M+ investors are talking about. Get the Stocktwits Daily Rip for what retail is watching right now, free to your inbox<\/a> <\/p>\n The South Korean chipmaker also said it will allocate more than 50% of free cash flow generated between 2025 and 2027 to boost shareholder returns. <\/p>\n The stock repurchase plan comes just a month after SK Hynix raised $26.5 billion through its U.S. listing, underscoring the vast sums of capital flowing into the AI boom. <\/p>\n However, the company, which is a key memory supplier to Nvidia, has since been caught in a broader selloff amid concerns that the surge in AI infrastructure spending may not last. <\/p>\n SK Hynix said its “intrinsic value \u2014 underpinned by its business \u200ccompetitiveness, \u2060robust cash generation capability, and mid-to-long-term growth potential \u2014 is not fully reflected in its current stock price.” <\/p>\n Memory Firms Turn Up Buybacks <\/p>\n