Investors Bet Samsung’s Smaller Memory Chip Rival SK Hynix Will Be an AI Winner
- SK Hynix has jumped 67% this year on HBM chip; Samsung up 24%
- Samsung needs big client like Nvidia, good yields to catch up
This article is for subscribers only.
Shares of Samsung Electronics Co. are on track to underperform those of its smaller memory-chip rival SK Hynix Inc. by the most in a decade as investors bet the latter will be the winner in artificial intelligence.
SK Hynix has surged 67% this year thanks to its deal to supply premium high-bandwidth memory chips to Nvidia Corp., trouncing Samsung, which is up 24% as it struggles to get its HBM offering off the ground. That gap may widen further judging by options data, which show the put-to-call ratio on Samsung more than double that of SK Hynix.