"The Ceiling Has Not Yet Been Closed" for SK hynix Inc.; Target Price Raised to 2.1 Million Won... Doosan Enerbility Co., Ltd. Gets a Higher Target on Gas Turbine and Nuclear Orders [Jutopia]

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[The Financial News] Here is a roundup of major brokerage reports as of the morning of April 24.
SK hynix Inc. was assessed as still having room for upside, supported by the memory supercycle and a structural supply-demand imbalance driven by rising artificial intelligence (AI) computing demand. Hyundai Motor Company's operating profit weakened in the first quarter because of tariff and incentive burdens, but physical AI momentum is expected to accelerate in the second half. Doosan Enerbility Co., Ltd. was analyzed as seeing stronger order momentum, backed by demand from U.S. Big Tech for on-site power generation and expectations for negotiations over investment in the United States.
\r\n\r\n◆SK hynix Inc.― Daol Investment & Securities Co., Ltd. / Researcher Ko Young-min
- Target price: 2.1 million won (raised from 1.6 million won) | Previous close: 1.225 million won
- Investment rating: Buy
Daol Investment & Securities Co., Ltd. sharply raised its target price, citing steep price increases across general-purpose memory as the main driver behind SK hynix Inc.'s strong first-quarter results, which included sales of 5.26 trillion won and operating profit of 3.76 trillion won. Researcher Ko Young-min said the average selling price (ASP) in the second quarter could also rise by more than 40% to 50% without difficulty, and added that the structural long-term supply-demand imbalance caused by a shortage of memory fabs and rising AI computing demand would continue until the second half of next year. He also forecast additional growth drivers in the second half, including HBM4 and SOCAMM2.※HBM4HBM4 is the next-generation version of high-bandwidth memory. Compared with HBM3E, it is an AI-specific memory product with significantly improved data transfer speed and capacity.※SOCAMM2 (Small Outline Compression Attached Memory Module 2)This is a next-generation low-power DRAM module standard for servers led by Nvidia. It boosts both power efficiency and performance in AI servers. Both products are expected to enter full-scale mass production in the second half of this year and are seen as new growth engines for SK hynix Inc.
\r\n\r\n◆Hyundai Motor Company― Kyobo Securities / Researcher Kim Gwang-sik
- Target price: 800,000 won (cut from 900,000 won) | Previous close: 532,000 won
- Investment rating: Buy
Kyobo Securities lowered its target price, saying Hyundai Motor Company's first-quarter operating profit fell 30.8% from a year earlier and came in below market expectations due to fixed-cost pressure, higher tariffs and incentives, and one-off expenses. Researcher Kim Gwang-sik said profitability should gradually improve from the second quarter as tariff rates are reduced from 25% to 15% and Palisade sales resume. In particular, he said the second half is likely to see a concentration of physical AI momentum, including the launch of Alpamayo, commercialization by the autonomous-driving affiliate Motional, and the opening of RMAC, creating expectations for both earnings improvement and growth potential.※RMAC (Robot Metaplant Application Center, Robot Metaplant Application Center)This will be Hyundai Motor Group's humanoid robot training base in Georgia, which is set to open this year. It will serve as a kind of 'robot academy' where Atlas, developed by its subsidiary Boston Dynamics, is trained before being deployed in actual factories. Real-world data gathered there, such as factory work data, is essential for physical AI training at Big Tech companies such as Nvidia and Google, putting Hyundai Motor Company in a position to emerge as a key partner.
\r\n\r\n◆Doosan Enerbility Co., Ltd.― KB Securities / Researcher Jung Hye-jung
- Target price: 148,000 won (raised from 135,000 won) | Previous close: 122,600 won
- Investment rating: Buy
KB Securities raised its target price, saying gas turbines, large nuclear power plants, and small modular reactors (SMRs) will sequentially contribute to a larger order backlog. Researcher Jung Hye-jung said demand for gas turbines is expanding faster than expected, driven by U.S. Big Tech's need for on-site power generation and domestic plans to build new LNG power plants. She added that Doosan Enerbility Co., Ltd.'s gas turbine lead time is about four years, shorter than the 5- to 7-year lead times of global competitors, which could help it win additional orders from customers that value speed.※SMR (Small Modular Reactor, Small Modular Reactor)This is a very small reactor with an output of 300 MW or less. It can be prefabricated in modules at a factory and then assembled and installed on site. Compared with conventional large nuclear plants, it has a shorter construction period and higher safety, making it a next-generation nuclear power source attracting attention as a power supply for data centers, industrial complexes, and remote areas.※On-site Power GenerationThis is a method of building power-generation facilities right next to where electricity is used and supplying power directly. Recently, Big Tech companies such as Google, Meta, and Amazon have seen AI data-center power demand surge, so instead of waiting for grid connections, they are increasingly building their own on-site power plants using gas turbines, SMRs, and similar systems.
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sms@fnnews.com Sung Min-seo Reporter