The logo of SK hynix, a semiconductor and memory chip company that listed on the NASDAQ on Friday. [Reuters]
The logo of SK hynix, a semiconductor and memory chip company that listed on the NASDAQ on Friday. [Reuters]

SK hynix's American depositary receipt (ADR) tumbled more than 9 percent on Monday, its second day of official trading on US markets. The selloff appeared to reflect a sharp decline in the company's shares on the Korean market, which spilled over into its ADR on Wall Street.

The SK hynix ADR closed at $152.35 in New York, down 9.32 percent from the previous session. The stock gave back much of the 13.1 percent surge it posted on its first trading day, Friday, settling just above its IPO price of $149.

Earlier, SK hynix shares in Seoul closed down 15.37 percent at 1.845 million won ($1,220).

Analysts attributed the decline to a combination of valuation pressure and a reset in expectations across the memory chip sector, which had surged on the back of the AI boom. Shares of peer memory companies also fell in New York, with Micron Technology dropping 4.4 percent and Western Digital falling 4.6 percent.

Hebe Chen, a market analyst at global financial brokerage Vantage Global Prime, said SK hynix "is suffering the aftermath of a period when the dopamine effect from the surge fades and expectations are harshly reset."


yckim6452@heraldcorp.com