TechFlow reports, on July 14, HSBC analysts stated in a research report that it may be too early to worry about the memory cycle peaking. Analysts believe that as agentic AI improves office productivity and reshapes workflows, the memory supercycle may continue. Continuously improving AI service profit margins continue to support strong cloud spending, and hyperscale cloud service providers are unlikely to slow down the pace of compute expansion while competing for the rapidly growing market.
With the next-generation High Bandwidth Memory HBM4 gradually entering the market, the upward trend in HBM product prices is expected to continue. Given SK Hynix's significant exposure to HBM, HSBC favors SK Hynix among Korean tech stocks. HSBC expects that after HBM4 achieves large-scale application in 2027, SK Hynix's share in the HBM market is still expected to remain at the level of 50% to 55%. (Jin10)
