Key Takeaways
- • SK Hynix stock plummeted over 8% on June 29, 2026, following a broader semiconductor sector selloff triggered by Broadcom's softer-than-expected AI chip guidance, which projected $16 billion in Q3 AI revenue against market estimates of $17 billion.
- • Samsung Electronics declined over 5% on the same trading day as profit-taking accelerated across South Korean chip stocks following months of red-hot rallies driven by AI demand.
- • SK Hynix's market capitalization fell below $1 trillion to approximately $943 billion after the sharp decline, ending a brief run above the trillion-dollar milestone that the company had recently achieved.
- • SK Hynix announced a potential U.S. listing plan with a proposed share issuance of up to $10 billion, which management reported received "tremendously positive" investor feedback despite the contemporaneous stock decline.
- • The Roundhill Memory ETF (DRAM), which counts SK Hynix, Samsung, and Micron as its three largest holdings, declined over 5% in overnight trading, marking a second consecutive session in red; retail sentiment on the fund turned bearish amid the selloff.
Summary
SK Hynix shares experienced a sharp selloff on June 29, 2026, dropping over 8% in Seoul trading as part of a broader semiconductor sector correction. The decline was precipitated by Broadcom's second-quarter earnings guidance, which projected $16 billion in third-quarter AI chip revenue—notably below consensus estimates of $17 billion. The softer outlook triggered immediate profit-taking across memory chip stocks, with Samsung Electronics also declining over 5% on the same day as investors reassessed valuations following an extended rally powered by artificial intelligence demand.
The selloff marked a significant reversal for SK Hynix, which had experienced a meteoric 250% share price surge since the beginning of 2026. The company's market capitalization fell to approximately $943 billion, ending a brief tenure above the $1 trillion valuation threshold it had recently reached. The decline underscores the sector's sensitivity to near-term guidance revisions and sentiment shifts, particularly as investors rotated out of positions following extended bull runs.
Despite the immediate market reaction, SK Hynix management reported strong institutional investor backing for its U.S. listing strategy during investor meetings. The company indicated it had received "tremendously positive" feedback for its proposed capital raise, which could include share issuance of up to $10 billion. The timing of these announcements—occurring concurrent with sharp price declines—reflects the dual dynamic of strategic capital planning alongside near-term valuation pressures.
The impact extended to broader memory sector indicators. The Roundhill Memory ETF (DRAM), which holds SK Hynix, Samsung, and Micron Technology as its three largest positions, declined over 5% in overnight trading and faced a second consecutive session in negative territory. Retail sentiment for the fund shifted to bearish on StockTwits, though some market participants characterized the pullback as a tactical buying opportunity despite the sector's broader momentum deterioration following Broadcom's guidance reset.
The selloff marked a significant reversal for SK Hynix, which had experienced a meteoric 250% share price surge since the beginning of 2026. The company's market capitalization fell to approximately $943 billion, ending a brief tenure above the $1 trillion valuation threshold it had recently reached. The decline underscores the sector's sensitivity to near-term guidance revisions and sentiment shifts, particularly as investors rotated out of positions following extended bull runs.
Despite the immediate market reaction, SK Hynix management reported strong institutional investor backing for its U.S. listing strategy during investor meetings. The company indicated it had received "tremendously positive" feedback for its proposed capital raise, which could include share issuance of up to $10 billion. The timing of these announcements—occurring concurrent with sharp price declines—reflects the dual dynamic of strategic capital planning alongside near-term valuation pressures.
The impact extended to broader memory sector indicators. The Roundhill Memory ETF (DRAM), which holds SK Hynix, Samsung, and Micron Technology as its three largest positions, declined over 5% in overnight trading and faced a second consecutive session in negative territory. Retail sentiment for the fund shifted to bearish on StockTwits, though some market participants characterized the pullback as a tactical buying opportunity despite the sector's broader momentum deterioration following Broadcom's guidance reset.
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