Jul. 10 at 1:26 PM
I just learned that foreign investors were gradually unloading
$SKHY recently in Korea, which pressured KOSPI and
$KORU.
Why? That is because the US listed ADR tends to fetch 10 to 20% higher premium than local stock, like TSM.
Therefore, analysts view this as strategic move by foreign investors to switch from local (Korean) Hynix stock to US listed ADR stock for additional premium benefit.
As mentioned before, SK Hynix has the most advanced HBM and captures 60% of the market, so some analysts think some
$MU investment money could also move to
$SKHY ADR.
That said, the demand far exceeds the entire HBM supply, and
$SKHY $MU and Samsung are all going to do well during the supply shortage, which is expected to last into 2028.
I still like
$KORU for overall exposure the KOSPI, but I'm going to add some
$DRAL or
$RAM in the near future.
