Changes in US stocks | SK Hynix (SKHY.US) rose more than 6% or will announce a 40 trillion won share repurchase plan in the fourth quarter

The Zhitong Finance App learned that on Tuesday, SK Hynix (SKHY.US) stock price rose. As of press release, the stock had risen more than 6% to $187.99. According to the news, S&P Global Market Intelligence said that due to the dividends of the AI memory chip boom, two major Korean chip companies have created record shareholder returns, and SK Hynix may announce a new round of stock repurchase plans of up to 40 trillion won (equivalent to 28 billion US dollars) in the fourth quarter. Mohammad Hassan, head of dividend forecasting for S&P Asia Pacific shares, said in an interview: “We expect more buyback plans to be announced in the fourth quarter.”

He said, “The lower limit for the new round of repurchases may be 20 trillion won, and it is also possible that it will reach 40 trillion won again.” He added that even with the implementation of a new round of large-scale repurchases, SK Hynix will still be able to pay a “substantial and generous dividend.”

Hassan said that when combined with Samsung Electronics' record dividend plan, SK Hynix's repurchase plan will set a new benchmark for the Korean market and encourage other companies to follow suit.

He commented that the dividend promises made by the two industry leaders are also a major benefit for the Korean stock market. “More and more companies will follow this practice, as it sets a new standard for the market on how shareholders should be rewarded.”