SK Hynix ADR Surges Over 17%, Hits Record High: Demand for Short-Term Call Options Soars Across the Board, Officially Announces Mass Production of 12-Layer HBM4

TradingKey - On July 14 Eastern Time, SK Hynix ADR ( SKHY) shares hit a new high since listing, erasing all losses since its debut. As of press time, it rose 17% to $178.66.

It is understood that options on the stock began trading today on the US options exchange. The most active contract in the market currently is the call option with a strike price of $185, with a trading volume of approximately 2,900 contracts, followed by the $145 put option.

Meanwhile, the August-expiry call options with a strike price of $200 are also highly popular, with a trading volume exceeding 1,500 contracts. Daniel Kirsch, head of options at Piper Sandler, pointed out that traders are expected to aggressively position for short-term trades betting on further gains in SK Hynix ADR this week. Demand for short-term call options is expected to heat up significantly, and call options expiring this Friday could attract a rapid influx of retail investors.

[Source: TradingView, 15-minute candlestick chart]

On the other hand, SK Hynix announced that it has officially initiated mass production and shipments of 12-layer HBM4 to Nvidia, with the product entering the capacity ramp-up phase. Unlike previous supply that was classified as samples, this is the first time HBM4 is being delivered with final specifications that have completed all quality certifications for Nvidia's next-generation AI platform, 'Vera Rubin'. It is understood that starting this September, SK Hynix will officially expand its HBM4 shipment volume to fully meet Nvidia's supply demand for high-end computing chips.

In addition, Samsung Electronics, the other of South Korea's 'memory chip duo', may also seek a US listing. According to media reports, Samsung Electronics is in the early stages of exploring the possibility of issuing American Depositary Receipts (ADRs). People familiar with the matter said that the company has held preliminary discussions with banks but has not yet decided whether to proceed with the plan. Reports indicate that Samsung Electronics will closely monitor the highly volatile memory chip sector during its decision-making process.

People familiar with the matter said that if the company decides to proceed with a US listing, its vast business footprint and ongoing labor disputes could pose challenges to the design of the transaction structure. Currently, Samsung Electronics' main businesses span multiple sectors, including consumer electronics, semiconductors, display panels, and automotive electronics.

Samsung has evaluated the possibility of issuing ADRs in the past and ultimately decided not to proceed. However, according to people familiar with the matter, rival SK Hynix's successful US listing has given Samsung fresh impetus to revisit the idea. Still, the discussions are in the very early stages, representing an internal evaluation rather than a concrete plan, and no banks have been appointed to manage the issuance.

As Samsung's core competitor in the memory chip sector, SK Hynix raised $26.5 billion through its ADR offering last week, setting a record for the largest fundraising by a foreign company listing in the US. This transaction indicates that despite market concerns about high valuations in the artificial intelligence supply chain, investor demand for core companies in global AI infrastructure remains robust.