SK Hynix's 20% Drop Tied to Nvidia and Samsung, Not Just Apple's CXMT Interest

SK Hynix shares fell about 20% from their yearly high, driven by pre-Nvidia earnings risk-off sentiment and Samsung's disappointing shareholder return plan, not solely by Apple's reported interest in Chinese DRAM from CXMT. Apple has reportedly tested CXMT's DRAM for potential device use, seeking cheaper supply amid a global memory shortage. However, CXMT declined Apple's request for lower prices, offering comparable or higher pricing than Samsung and SK Hynix, limiting immediate margin impact. Wall Street still rates SK Hynix a "Strong buy" with a $245 target, citing AI-driven demand and a 6.5x forward earnings valuation. The long-term risk is CXMT gaining Apple qualification and eroding SK Hynix's market share, while Micron is suggested as an alternative.