Trend

QS Research · Michael Burry's Scion Capital analyst template · 2006

SK hynix Inc. (SKHY)

As of 2026-11-08 · 5/15 boxes filled from SEC filings and market data

Conclusion: LONG

Conviction medium · base case +36% · downside -15% · upside +125%

Section 13 has no SKHY TTM net income or free cash flow, so the only cited SKHY earnings multiple is the 4.5x forward P/E in S11; I use its implied $28.30 forward EPS as the single base for all three cases. The market is pricing a memory-cycle collapse even as Q3 2026 revenue rose 327.9% year-over-year to 104.62 trillion won, operating profit was 83.33 trillion won at about an 80% operating margin, DRAM/HBM are sold out through 2029, and over 50% of 2027-2028 capacity is under long-term agreements. The $14.9 billion buyback plus $10.4 billion dividend and 50% cumulative free-cash-flow return through 2027 are balance-sheet catalysts that can force a re-rating from 4.5x toward the 6.1x/9.2x memory-peer P/E. Base case: 6.1x on $28.30 = $172.62 (+35.6%); downside: 4.5x on 15%-lower EPS = $108.24 (-15.0%); upside: 9.2x on 10%-higher EPS = $286.37 (+124.9%). That meets the long rule with medium conviction; the missing TTM financials and memory cyclicality keep it from high conviction.

Key numbers

  • Share price: $127.34
  • Market cap: $897.97B

The 15 boxes

  1. ○ 1. Long-form business notes
  2. ○ 2. Competitive advantage
  3. ○ 3. 10-Q takeaways
  4. ○ 4. Corporate governance
  5. ○ 5. Overview of the prior 3 years of 8-K filings
  6. ✓ 6. Other significant filings

    Filled; members read this box.

  7. ○ 7. Chronology of significant news and events
  8. ✓ 8. Comparables valuation interpretation

    Filled; members read this box.

  9. ○ 9. Insider trading interpretation
  10. ○ 10. Earnings-call notes
  11. ○ 11. Impression of the shareholder letter
  12. ○ 12. Scuttlebutt overview
  13. ✓ 13. Valuation and risk/reward summary

    Filled; members read this box.

  14. ✓ 14. Current price suppression and potential catalysts

    Filled; members read this box.

  15. ✓ 15. Conclusions

    The call above.

Sign in with a QuantSignals Premium or Gold plan to read every box: each point linked to the SEC filing it came from, the bull and bear case, and the comparables. QS Research powers the signals behind FST, our autonomous trading agent.

Put these signals to work

The Scion template's preview is free. Paid members read every box of every report. FST, the QuantSignals trading agent, uses QS Research as its brain.

Join freeMeet FSTSee plans