SK Hynix drops 15%; chip sell-off triggers KOSPI trading halt
What's new: The stock's plunge left its US ADRs trading about 37% above the Seoul share price after a $26 billion listing.
SK Hynix shares fell more than 15% on Monday in their biggest one-day drop on record, as investors locked in gains after the company's Nasdaq debut and worries grew over near-term earnings. The slide, along with losses in Samsung Electronics, helped drive the KOSPI down 9% and triggered a 20-minute trading halt in Seoul. SK Hynix raised more than $26 billion last week through American depositary receipts priced at $149, and the ADRs closed Friday at $168 after their first session gain. Analysts said sentiment was also hurt by doubts that shipments of the company's HBM4 memory chips are ramping up as quickly as investors had expected in the second quarter.