SK Hynix, Micron Cross $1 Trillion on AI Memory Demand

Investors poured money into memory chip makers as demand for high-bandwidth memory used in AI servers drove two companies past the $1 trillion market capitalization mark for the first time. SK Hynix and Micron Technology each reached the threshold within days, lifting broader semiconductor and technology indexes to fresh records.

SK Hynix shares rose as much as 11 percent intraday before closing up 9.21 percent, according to market data cited by CNBC. The gain extended a year-to-date advance of roughly 250 percent. Samsung Electronics, the other major South Korean chipmaker, had crossed the same valuation earlier. Together the two firms represent more than 40 percent of the Kospi index, which has nearly doubled since January, LSEG data showed.

Micron shares jumped 19 percent on Tuesday to push the company over $1 trillion, then added more than 5 percent in premarket trading the next day, Yahoo Finance reported. The stock has roughly tripled this year. A bullish note from UBS that highlighted potential long-term procurement contracts tied to AI data-center buildouts supported the move.

Both companies supply components critical to AI accelerators, with SK Hynix serving as a key partner to Nvidia. Analysts noted that earnings forecasts for the Korean firms have risen faster than share prices, leaving valuations relatively attractive on updated fundamentals, according to Peter Kim of KB Financial Group.

Futures on the Nasdaq 100, Dow Jones Industrial Average and S&P 500 all pointed higher at the open, extending Tuesday’s record closes for the Nasdaq and S&P 500. The concentration of index performance in a handful of AI-related names has raised warnings about potential volatility if supply chains tighten or data-center spending slows.