SK Hynix (000660 KS) expects a considerable increase in capex during 2026. Sees server set growth in the high-teen percentages. Expect short-term shipment adjustments due to deteriorated consumer sentiment.

• PC and mobile memory demand will trail the market.
• Expect 2026 DRAM demand to increase by over 20% Y/Y.
• HBM revenue more than doubled Y/Y.
• Growth momentum accelerated further in Q4.
• Sees considerable supply tightness in Q1.

SK Hynix is signaling a significant upcoming capital expenditure increase for 2026, driven by robust demand for DRAM and HBM despite short-term shipment adjustments from weakened consumer sentiment. This highlights a potential recovery in tech spending, particularly in the server segment, which may positively impact semiconductor stocks, though caution is warranted due to the prevailing economic headwinds affecting PC and mobile memory demand.