On July 15, SK Hynix (SKHY) declined 3.83% overnight, trading at $190.24/share, with turnover of $3.5957 million. The decline came after the stock surged approximately 27% during regular trading hours on July 14, with investors locking in gains following the dramatic rally.
The intraday surge was fueled by the formal launch of SK Hynix ADR options on US exchanges, which stimulated trading activity. Early session options volume reached approximately 33,000 contracts, with over two-thirds concentrated in short-dated calls expiring by week's end. The ADR premium relative to Seoul-listed shares expanded to 51%, far exceeding the 3% premium at the time of the $26.5 billion IPO pricing just days earlier. Structural conversion restrictions between Korean ordinary shares and ADRs prevent traditional arbitrage from compressing the premium.
Despite bullish catalysts including a SemiAnalysis report projecting Q2 DRAM ASP up 45% sequentially and the commencement of 12-layer HBM4 mass production shipments to NVIDIA, multiple headwinds persist — including a Korean brokerage earnings downgrade, leveraged fund deleveraging, and post-IPO profit realization — intensifying bull-bear divergence and triggering overnight selling pressure.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
