It seems like there were a bunch of people shorting and bearish on storage during the recent pullback. Lately, they all seem to have gone quiet. Must be counting their winnings at home, laughing all the way to the bank 🙃

In the storage sector, Micron's new all-time highs have opened up room for growth, and SanDisk is approaching its previous highs.For SK Hynix, with the cancellation of 20% of shares to improve shareholder returns and the active pursuit of a NYSE ADR to broaden global investment channels, it's believed the discount will gradually narrow.Taiwan has TSMC, and South Korea has Samsung and SK Hynix.

SK Hynix is studying the possibility of listing through an ADR issuance in the US. If it gains access to US stock trading and financing channels, it would be a significant positive for Hynix and even the Korean stock market. Hynix's valuation is significantly lower than that of Micron and SanDisk, with forward PE: Hynix 5x (2027E) vs Micron 12–15x. The discount is attributed to three reasons: governance and dividends, investor structure, and geopolitical risk. Previously, the SK Group planned to repurchase and cancel 4.8 trillion won worth of Hynix treasury shares, representing about 20% of the total shares outstanding, to be completed within 2026, progressing in sync with Samsung. Now, SK Group Chairman Chey Tae-won has publicly confirmed that SK Hynix is evaluating the possibility of issuing ADRs in the US, aiming to enhance valuation and liquidity, with a clear plan in place.·   Issuance method: Using treasury shares, without issuing new shares or diluting existing shareholder equity.·   Issuance size: Approximately 17.4 million shares, representing about 2.4% of total shares outstanding.·   Listing venue: Expected to be the New York Stock Exchange (NYSE).·   Use of proceeds: Not for direct fundraising, mainly to improve liquidity, attract US institutional investors, and repair valuation. TSMC's ADR also led to a 30%-50% valuation increase. This time, for Korean stocks, the share buyback and cancellation improve governance structure, while the ADR listing broadens global investment channels and enhances liquidity. It is worth expecting that the valuation discount will be erased. Future catalysts to watch: When SK Hynix formally submits its ADR application and receives approval.

Micron Tech

Samsung Electronics 

Taiwan Semiconductor

Sandisk

XL2CSOPHYNIX

投资是认知的变现，不要总想无脑抄作业暴富，一定要脚踏实地的投研，更不要问我交易问题，问就是别买/赶紧割。

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