SK Hynix briefly overtook Samsung Electronics on Monday to become the most valuable company in South Korea, after a sharp rise in the chipmaker’s share price. SK Hynix, now the world’s most valuable memory chipmaker, saw its stock climb 5.7%, lifting its market capitalisation to 2,082.5 trillion won as of 0347 GMT.
By comparison, Samsung Electronics rose 0.4% on the day to a market value of 2,081.3 trillion won, excluding preferred shares. Samsung had occupied the top position among South Korean firms since 2000.
The sector-wide strength has been driven by booming demand for memory chips linked to a rush by U.S. technology companies to build AI data centres. That demand has, according to market observers, constrained supply and pushed prices higher, contributing to record profits at South Korean chipmakers.
SK Hynix’s share performance this year has been pronounced; the stock has gained more than 340% year-to-date, outpacing Samsung Electronics, which has risen about 200% over the same period. In May, SK Hynix joined Samsung Electronics and Micron Technology in surpassing $1 trillion in market value for the first time, a milestone attributed to the AI-driven rally in memory demand.
Market context
The recent reordering of market capitalisations underscores the deep gains across the memory-chip segment. Analysts and market participants point to strong AI-related demand from large U.S. tech companies as a key factor that has tightened supply conditions and elevated chip prices, creating a favorable profit environment for producers.
What changed on Monday
SK Hynix’s 5.7% intraday increase pushed its market value just above Samsung’s, which saw only a modest 0.4% uptick. The move was enough for SK Hynix to claim the top spot, if only temporarily.
Implications
- The shift highlights how rapidly market valuations can change within capital markets when earnings expectations and demand drivers shift.
- Memory-chip producers have benefited materially from increased spending on AI data centre infrastructure, lifting sector profitability.
Data points cited
- SK Hynix market capitalisation: 2,082.5 trillion won (as of 0347 GMT on Monday)
- Samsung Electronics market capitalisation: 2,081.3 trillion won (excluding preferred shares)
- SK Hynix year-to-date share gain: more than 340%
- Samsung Electronics year-to-date share gain: about 200%
- SK Hynix, Samsung Electronics, and Micron Technology each topped $1 trillion in market value in May
These figures reflect the market’s current pricing of memory-chip demand and profitability amid the ongoing AI investment cycle.